DevSecs and Brockton buy in Notting Hill

Development Securities (DevSecs) and Brockton Capital Fund II have bought an office and retail block in Kensington Church Street, Notting Hill, west London. They paid £47.5m for the building in which Brockton will have 75 percent ownership and DevSecs the remainder. Completion is scheduled to take place on June 23.

The block sits on about one acre and comprises Newcombe House, a 14-storey office building that includes surface parking for 55 cars, as well as 13 shops. The partners are in the early stages of evaluating a strategy for the property. Options range from a refurbishment of the existing office tower and asset management of the retail accommodation to a comprehensive mixed use development.

The news was announced just six days after DevSecs arranged a new £22.5m fixed rate, 14-year debt facility with Aviva Commercial Finance. It secured the facility on five properties, four of which were acquired with the proceeds of the £100m placing and rights issue received in August 2010. The facility carries an interest rate of 5.48 percent.