A bounce-back for the industry as WeWork sale price sets hearts racing.
Image: Darling Associates
The flow of money into UK commercial property has bounced back to 2019 levels and shows no signs of slowing. Data from Savills shows that the sector has weathered the COVID storm, raising hopes of strong workflows in the office market.
The statistics come as WeWork’s 124,000 sq ft base at 120 Moorgate, London ECW, has sold to Singapore-based investor, Sun Venture, for a figure close to £150m. The brutalist 1960s block designed by Richard Seifert was converted into coworking space by Darling Associates. The project, for WeWork and Vengrove, was completed last year, paving the way for the sale – at a price that will set hearts racing.
The coworking giant acquired the block in September 2017 for £43m, meaning it has tripled its money in four years and offering proof that good design lifts values.
By 31 October 2021 total UK commercial real estate investment volumes reached £44.7bn, Savills said, up by 15% on the same point in 2019 and up 29% on 2020. By December 2021 the total equalled the £50bn recorded in 2019.
WeWork 120 Moorgate. Image: Darling Associates
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