Deutsche Asset Management pays £310m for London office

Deutsche Asset Management has acquired the landmark office buildings 2 & 3 Bankside in London’s Southbank on behalf of its German open-ended real estate funds for approximately £310 million ($395 million) with a top up to be determined.

The seller is M&G Real Estate, one of the U.K.’s largest real estate property investors.

Built in 2007 to a high specification, the buildings comprise more than 414,410 square feet of office, ground-floor retail and higher floor terraces with views across London. Both nine-story properties are fully let with the Royal Bank of Scotland as the main tenant.

“London remains one of Europe’s most attractive markets for real estate investment despite Brexit,” said James Petit, head of real estate, United Kingdom and Ireland for Deutsche Asset Management, “Bankside are two quality buildings in an attractive, emerging location. The regeneration of this area is making it one of London’s fastest growing submarkets and an increasing magnet for tenants.”

Bankside is situated behind the well-known Tate Modern gallery in the Southbank district, which is one of the capital’s leading centers for culture and home to some of London’s most iconic tourist attractions. Strong transport links, new office developments, and a vibrant retail and leisure precinct have combined to attract a high profile and diverse mix of tenants to the area.