Leading developer and owner of logistics property, Prologis, has acquired a prestigious office building at Heathrow Airport, known as the Compass Centre, as part of its ongoing investment into the London logistics market.
The property, previously owned by the Arora Group, is a striking office building, which is currently let to Heathrow Airport Ltd, providing 200,000 sq ft (18,500 sq m) of prime office space close to the airport’s northern perimeter. Set in almost 15 acres of land, the site is just 12 miles (19km) west of central London and is supported by excellent road (M25/M4) and rail links.
Robin Woodbridge, Head of Capital Deployment and Leasing for Prologis in the UK, said: “We are delighted to secure this prestigious building, and its surrounding land, at a time when demand for industrial space and land for development is soaring, especially in areas close to London. Competition is particularly intense for this type of package at the moment, and we are pleased to have been able to complete the transaction off-market.
“While we have no immediate plans to develop the property or land, and the office building will remain let until at least (year), there may be scope to redevelop it for logistics use at some point in the future.”
Commenting on the sale of the Compass Centre, Sanjay Arora, Director at the Arora Group, said: “The Compass Centre has always been a strategic asset in the portfolio for many years. However, with the change in the business environment post COVID, we are pleased to have sold the asset to Prologis, releasing funds to facilitate new projects.”
Once the HQ for British Airways, the Compass Centre was originally built in 1992. The building has been refurbished and provides fully-modernised, energy-efficient office space. The building was acquired by the Arora Family Trust in 2008 as part of a larger portfolio acquisition of the Airport Property Portfolio (APP) from BAA plc.