Warner/Chappell UK has sold its office in Kensington, London to John Lyon’s Charity for £22.6m ($32.7m).
The deal, which delivers a 3.6% yield, also sees the major publisher lease back the property for another 15 years, with a break option after a decade.
According to Property Week, the rent will cost Warner/Chappell £790,000 ($1.14m) a year, which equates to £49 ($71)/sq ft.
The premises, 46 Kensington Court, is a former electricity generating station, which was originally constructed in the 1880s.
“Off the current rental base, we consider that the investment offers excellent prospects for growth over the medium to longer term,” said Ross Owen, Cluttons’ head of investment and fund management, which advised John Lyon’s Charity.
Warner/Chappell UK is headed up by MD Richard Manners (pictured inset), who last week promoted Pascale Khalaf to VP of Sync & Licensing.
“Sync is one of the most important services that Warner/Chappell offers in helping to build the careers of our songwriters and finding new avenues for their music,” said Manners. “That’s why I’m delighted to announce Pascale’s promotion to VP Synch & Licensing.
“She’s a world class expert in her field, who has a deep understanding of how to bring music and brands together in ways that create culturally resonant moments.”Music Business Worldwide
