A MAJOR piece of prime stock is about to come on the Edinburgh market with the decision by the Royal Pharmaceutical Society of Great Britain to sell the building which has housed its Scottish office since it bought the property in 1884.
The building, at 34, 36 and 38 York Place, has been the subject of pre-planning schemes prepared by architects for commercial, hotel and residential options, although no planning application has been lodged.
Rettie & Co's Land and Development
team is selling agent and it anticipates considerable interest.
The total square footage is around 24,089sq ft plus significant basement extensions to the rear, including a conference hall, all the way back to Dublin Street Lane.
Since August 2007 the basement of No. 38 and the extensive laboratories at the back of the three properties have been vacant and the society's Scottish office now uses only the main building at No. 36.
The society has appointed Culverwell to find new premises, looking at the options of buying or renting, and while no starting price has yet been mentioned by Rettie it would be a surprise if what is on offer did not fetch around £2 million.
It is, of course, a fickle market, as the Law Society of Scotland knows full well – last year it decided to sell its headquarters in Drumsheugh Gardens, Edinburgh, and started searching for alternative premises with "significant interest" expected. In the end it took the property off the market after hopes of getting offers of over £5m were dashed.
Another major site that has come on the market and should attract considerable interest is The Grange at St Andrews, described by agent Knight Frank as one of Scotland's most valuable and sought-after development sites.
Being sold on behalf of Aberdeen-based C & L Properties, it is a nine-acre site that includes a former historic mansion house with full planning consent and building warrant approval for a secluded community of 17 luxurious homes, based on fractional ownership, and a spa leisure club within the grounds.
The site is crying out for development, with commercial or hotel use not ruled out.
Knight Frank partner David Reid said: "This really is one of the best sites to come on the open market for some time. It is so rare for a site to become available with planning permission in St Andrews. It is likely to attract a large operator, probably from overseas, that can carry out development of the site at a faster pace. We anticipate there will be global interest from a variety of buyers."
It is understood that the starting asking price is in the region of £6m.
On the letting side, the in word is "aggressive" as developers and agents turn flexible leasing and pricing into an art form.
When the former JobCentre at the refurbished 24 Torphichen Street, Edinburgh, was re-launched in January by Sir Tom Farmer, who has an interest in the venture, the quoted price for the premises was £16-17 per sq ft; now it has been reduced to £10, which has to be seen as quite a bargain in this part of the city.
Toby Withall of GVA Grimley, joint agent for landlord Duddingston House Properties with Jones Lang LaSalle and Lambert Smith Hampton, said potential occupiers were fully aware of the state of the market and are in the driving seat. "By reducing rent we are going with the market, meeting the demands of occupiers and giving them an excellent opportunity to acquire top-class office space at a cut-down price."
Plumbing outfit heads north of BorderIN ONE of the largest light industrial lettings in Scotland this year the Leicester-based F&P Wholesale has taken a ten-year lease on a 25,000sq ft unit at SCOT Sheridan's Excelsior Park development in Wishaw.
It's the first Scottish outlet for the company, which supplies heating, plumbing and bathroom products to the trade.
It is paying £5.50 a sq ft. Ryden, James Barr and J A Pollock Property Consultants are the agents.
AUTOMOTIVE and car repair company CPR Autos has agreed a ten-year lease on 5,000sq ft at Bankhead Estate's City Park Industrial Estate in Glasgow, at an annual rent of £30,000 (£6 per sq ft). The company is relocating from Coatbridge. King Sturge acted for the landlord.
THE BELLEKNOWES Industrial Estate in Inverkeithing has snapped up its third tenant of the year – Kwik-Fit – on a 15-year lease on a 5,703sq ft unit at an annual rent of £28,230 (£4.95 a sq ft). King Sturge advised the landlord, the Hermes Property Unit Trust, with Lambert Smith Hampton for Kwik-Fit.
BURGER KING has beefed up its presence in Scotland with three new restaurants. It has agreed a ten-year lease on a unit at Overgate in Dundee at £70,000 a year with the landlord, Lend Lease, advised by SGM; in Dundee also at Wellgate it has taken on a ten-year lease at £30,000; and at Xscape in Braehead it has agreed a 15-year lease at £59,000. Brian Champion Long advised the landlord, Braehead Partnership.
AN EDINBURGH townhouse still fresh from refurbishment has attracted its third tenant and is now fully occupied. Brand 2020, moving from Walker Street, has taken 750sq ft at £18.50 on a five-year lease in a deal put together for landlord Melville Street Developments by Ryden jointly with Edinburgh Commercial Property.
BELLA Italia (Cushman & Wakefield advising) has agreed a new 20-year lease on its premises at 175/177 High Street, Edinburgh, paying £103,000 a year in the first year, rising to £118,000 by year five. The landlord, Crolla Trust for Grandchildren, was advised by Edinburgh Commercial Property. Semple Fraser and Morton Fraser did the legals.
ASHGROVE Filling Station on the A96 between Aberdeen and Inverness, in the village of Cairnie, has been sold by Christie & Co on behalf of its Slough-based owner. There is also a convenience store, licensed restaurant and garden centre. The new owner is the Elgin-based fuel supply company Gleaner Oils.
• Send deals details to jimdow@lumison.co.uk
