Member Article

‘Strong market interest’ expected as Newcastle Central Square goes on sale for £20m

Central Square, a highly coveted Newcastle office space, is being brought to market for over £20m.

Owners Parabola Estates have instructed Bilfinger GVA and Cushman Wakefield to sell the 72,389 sq. ft. building, situated adjacent to Newcastle Central railway station and the new Stephenson Quarter development.

The Grade A office space was constructed in 2000 and features a 5 storey atrium, 33 basement car park and an additional 64 space external car park. Moreover, the building has also won the BCO Best Refurbished Workspace national award.

The combined passing rent amounts to £1,446,126 per annum, equating to an average office rent of £18.55 per sq. ft. and an average car park space rental of £1,309 per space per annum.

The building is fully let to a strong tenant line up including Ove Arup Partners, Jackson Solicitors, Bilfinger GVA, Cushman and Wakefield, 4 Projects and The Arts Council.

Simon Beanland, Senior Director and Head of Investment at Bilfinger GVA Newcastle, said: “We anticipate strong market interest in this landmark building offering top quality Grade A office accommodation, superbly located close to Central Station and the rapidly emerging Stephenson Quarter regeneration scheme.”

The joint agents are seeking an asking price of £20.52 million for the freehold interest, subject to contract which reflects a Net Initial Yield of 6.75% after deduction of standard purchaser’s costs taken at 5.8% reflecting a capital value of £284 per square foot.

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