Mubasher: US property giant Kennedy Wilson and its equity partners concluded an off-market purchase of a quality office campus in sub-market of Weybridge, in Greater London, for GBP 136 million ($178.9 million), the company said in a press release.

Kennedy Wilson and its partner paid GBP 64 million of equity, with the real estate investment company having a 51% ownership interest in the institutional quality office campus, also known as the Heights.

The finalised transaction reflected a 7.1% rate of return on the investment on the campus, which is located near London’s orbital motorway M25, Kennedy Wilson noted.

“The Heights offers a unique opportunity to recycle proceeds from recent UK sales where we completed our business plans into a top-tier office asset in one of Greater London’s strongest markets with office vacancy rates at less than 5%,” Kennedy Wilson’s UK operations head Mike Pegler said.

The campus, which spans 348,000 square feet with five buildings across 25 acres, is currently 97% occupied, while its weighted average lease term is 4.8 years, and rents are below the level of the current local market rents.