The Restaurant Group completes sale and leaseback of 5-7 Marshalsea Road
Global real estate advisor, CBRE, has advised The Restaurant Group (TRG) on the sale and leaseback of its HQ at 5-7 Marshalsea Road for approximately £27m to a Japanese buyer.
The prime freehold office building in Southwark, which will benefit from an impressive refurbishment by TRG, creating over 23,000 sq ft of high-quality creative space throughout, underwent a competitive bidding process with strong interest from a range of buyers, both international and domestic. TRG have signed a 10 year lease on the building.
TRG is a substantial operator in the UK casual dining market, with over 650 restaurants and pubs which include Wagamama, Frankie and Benny’s and Chiquito. On completion of the sale, the property will be let in its entirety to the group for a term of 10 years; with annual fixed rental uplifts built into the lease, guaranteeing rental performance.
Knight Frank advised the purchaser.
Southwark is one of Central London’s best performing submarkets, with strong occupier fundamentals that attract a diverse tenant base. The appeal of the location coupled with the strength of the income profile at 5-7 Marshalsea Road has supported robust appetite from a range of buyers, despite investment volumes being down on the previous year.