Topland buys tallest building in Wales for £12.35m6th August 2012

Acting on behalf of DTZ Investment Management, DTZ has sold Wales’ tallest building, Capital Tower and Friary House in Cardiff for £12.35m to the Topland Group.

Located in the heart of Cardiff city centre, the buildings sit within the core office and leisure district, next to the Hilton Hotel and close to the Millennium Stadium, Cardiff University and St David’s Shopping Centre. The high profile buildings provide panoramic views of the city and beyond, as well as an accessible location and flexible open plan floor plates.

Capital Tower and Friary House have over 190,000 sq ft of predominantly office space with additional leisure and a multi-storey car park. The buildings are 94 per cent let to tenants including Admiral Insurance (home to their current headquarters), Tiger Tiger, The Secretary of State, The Law Society and Hilton Hotel. Over half the income is secured to Admiral Insurance for a further circa. 2.5 years until their planned move to a new headquarters building.

Nick Allan, Senior Investment Director at DTZ who led the sale said: “This is the most significant and high profile investment transaction within Cardiff this year and it was achieved in challenging market conditions for secondary office buildings. The properties provide many opportunities in the future for redevelopment and/or major refurbishment. The buildings, views and location are clearly a major attraction for both occupiers and investors and we are delighted to have secured the sale to Topland Group within three weeks of agreeing terms.”

Clive Bush, Managing Director, Operations at Topland Group, said: “We are delighted to have completed this purchase, which will provide us with a number of active asset management opportunities, which will be worked up by our in-house management team. Our ability to purchase with cash has again proved a decisive factor.”

Powell Lloyd acted on behalf of Topland.