Basingstoke: Sovereign Housing takes up The Florence Building

Abstract Securities has completed a deal to lease the 61,000 sq ft The Florence Building in Basingstoke in its entirety to Sovereign Housing Association, and subsequently selling on the entire share capital of the company which owns the asset to LGIM Real Assets.

Legal and General has bought the building in Basing View on behalf of its property fund for some £29 million.

While the property was marketed at rental levels up to £28.50 per sq ft the entire building was taken by Sovereign on a new 20-year lease subject to minimum and maximum uplifts linked to RPI at review.

The deal will see some of Sovereign's staff move from Newbury and is a significant inward investment deal for Basingstoke. Market sources suggested the double transacted exchanged and completed within two days in December.

Abstract added: "The Florence Building represents Abstract’s most recent 'uncompromising value' office development, providing 61,415 sq ft plus 203 car spaces in a new multi-storey car park."

Basingstoke cabinet member for property and development John Izett said: “We are delighted that Sovereign Housing Association will be bringing its headquarters to our borough.

“This move by a major organisation is further proof that Basingstoke is well and truly back in business and competing with neighbouring towns such as Reading and Guildford.

“I am delighted that the confidence in Basing View demonstrated by the developers, Abstract Securities, has been met with such a great and early success. This outstanding outcome would not have been achievable without the council’s bold decision to invest in enabling the site for development to bring further high value jobs to the borough.”

Source: CoStar