Member Article

Newcastle Cobalt building acquired in £4.91m deal

The Castel Commercial Property Fund, acting on advice of Aston Property Ventures Limited, has acquired a 30,000sqft office building at Cobalt Business Park, Newcastle, in a £4.91m deal.

Purchasing Cobalt 13a, the building is a multi-let property currently with three tenants: Barnardos; Det Norske Veritas GL and Balfour Beattie Group along with one unit available for lease.

Tim Keig from Aston Property Ventures said: “For us this was an attractive deal to acquire a Grade A office building at a very attractive entry yield, in one of the UK’s most successful business parks.

“The location is becoming increasingly popular with occupiers in the region due to the supply constraints and costs associated with city centre space. What’s more, the region is booming. With the current political focus on the north of England, and the can-do attitude of our northern cities, the park is a great place to do business.

“For the fund, we’re confident this will be a high-yielding office investment with opportunity for additional value creation through strategic lease repositioning and filling the vacant suite.”

Cobalt 13a extends to 30,406 sqft over the ground and two upper floors, with an L-shaped configuration and floor-to-ceiling glass on all sides, offering excellent natural light.

Cobalt Real Estate was the vendor in the transaction and was advised by Farrer & Co. Shoosmiths provided legal advice to the purchaser and Lexicon Cole acted as agents.

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