Kennedy Wilson has acquired One Embassy Gardens for $252 million in an off-market transaction. Located in London’s Nine Elms district, the 156,000-square-foot, recently developed, class A office building was designed to minimize energy and water consumption.
One Embassy Gardens is part of the wider Embassy Gardens estate, a new riverside district immediately adjacent to the U.S. Embassy and close to Apple’s new 500,000-square-foot headquarters at Battersea Power Station. The asset is 82 percent occupied by publisher Penguin Random House.
“One Embassy Gardens represents an excellent opportunity to recycle proceeds following the recent opportunistic sale of our central London office asset, Friars Bridge Court, where we sold at a capital value of £1,600 [€1,860/$2,214] per square foot and a cap rate of 3.5 percent. We are now buying new modern stock at £1,140 [€t1,325/$1,578] per square foot and cap rate of 4.5 percent, adding $12 million of day-one NOI to Ken
