The City of Edinburgh Council has announced the sale of Atria, its award winning Grade A office development, to Deka Immobilien, a global real estate investment company based in Germany, for £105m.
The office development, located at the heart of Edinburgh’s financial district, attracted a significant amount of interest when it was put up for sale in October 2015.
Cllr Barrie, Convener of the Economy Committee, said: “I’m delighted that we have concluded the sale of Atria. This is a further endorsement of the Council’s decision to create an innovative funding package to develop much needed Grade A office space in the city to attract new, and retain existing, businesses in the Capital while also cross-subsidising the cost of an expansion to the Edinburgh International Conference Centre (EICC).
“The fact that we have been able to attract investment into Edinburgh from a major overseas real estate company is testament to the quality of the building and its occupiers.
“Our plan was always to sell Atria once the development was completed and the economic conditions were right to achieve the best possible return for the Council’s investment and I believe we have achieved this.”
Proceeds from the sale will be used to repay the monies borrowed to facilitate the development, bolster the Council’s Strategic Development Fund which was set up in 2013 to help create new development opportunities, support business innovation, deliver jobs and promote economic growth in Edinburgh, and help deliver the Council’s Transformation Programme.
Atria is home to some leading names from business and finance including PwC, Brewin Dolphin, Aon, IBM, the UK Green Investment Bank, the Law Society of Scotland, Alliance Trust, Lothian Pension Fund and the EICC. Retail occupiers include the Co-operative Food and Café Klaris.
Montagu Evans, JLL and Shepherd & Wedderburn acted for the City of Edinburgh Council whilst Savills, CBRE and HBJ Gateley represented Deka Immobilien.
Atria Edinburgh opened in May 2013.