Lismore Real Estate Advisors have advised Alderan on the acquisition of the Helmerich & Payne HQ, a long-income Grade A office investment located in City South Office Park, Portlethen, Aberdeen.
Acquired following a competitive bidding process, the property comprises a purpose-built headquarters extending to 71,599 sq ft across ground and two upper floors, set on a 3.7-acre site. The building provides high-quality office accommodation with a striking three-storey atrium, canteen and gym facilities, and a BREEAM ‘Very Good’ and EPC B rating.
The property is let in its entirety to KCA Deutag Drilling Limited, guaranteed by Abbot Group Limited, on a lease expiring May 2036. The passing rent of £1.74 million per annum benefits from minimum rental uplifts of 2.5% per annum compounded, providing strong income growth prospects.
The asset was acquired for £14.85 million, reflecting a net initial yield of 11.00%.