International real estate advisor Savills has been appointed by landlord Legal & General to sell The Spark in Newcastle Helix, for offers over £33.95m, reflecting a net initial yield of 8%. Any deal would set the tone for best-in-class offices in the region.
The building provides 105,906 sq ft of high quality office space in the regional capital of the North East. It is currently fully occupied on a multi-let basis on reversionary rents with high potential for rental increases.
The Spark was built in 2022 and benefits from an exceptional location, situated in the city’s prime office district with retail and leisure offerings close by. It is well connected to transport links via both metro and rail.
Spread over ground and eleven upper floors, the property is rated BREEAM Excellent, WiredScore Platinum and has an EPC ‘A’ rating. It is powered by the on-sire District Energy Centre, a centralised system that is forecast to save more than 30,000 tonnes of carbon emissions over the next 40 years.
Peter Atkinson, director in Savills Newcastle investment team, commented: “This is one of the very best office buildings in Newcastle offering a hugely exciting opportunity for an investor. The strong demand combined with the relative lack of stock in the market and highly restricted development pipeline, means we’ll see both significant and imminent rental growth, as occupiers seek high-quality office space.”