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Tabung Haji purchased a building in London for 247.5 million pounds

Tabung Haji purchased a building in London for 247.5 million pounds

Although the global political and economic forecasts are not exceedingly optimistic nowadays, the demand for London real estate remains consistently high. Investors have noticed a slight shift towards the buyer’s market over the past few months and consider it a profit-generating opportunity.

For instance, Lembaga Tabung Haji, an Islamic organization that provides banking and other services to hajj pilgrims from Malaysia and manages investment, purchased a London building at 33 Horseferry Road this summer. The property is currently occupied by the Department of Transport. The transaction value was 247.5 million pounds.

In its press release, Tabung Haji has noted that it expects long-term returns because the building is leased for a long time, the lease contract is subject to annual review, the market value is stable, and the maintenance costs are fully covered by the tenant.

The pilgrim support fund believes that its latest purchase is fully aligned with the task of diversifying the types and locations of its assets.

Iain Hindhaugh, a real estate partner at Addleshaw Goddard (London), says that the fundamentals of the capital’s real estate market remain strong. The tenants’ demand recovered despite the trend of working from home. Employers are now looking for higher-quality buildings to attract talented professionals whose priorities are changing. For these reasons, the London real estate remains attractive for investors.

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