A PROMINENT harbour front office block in Southampton has changed hands for £7.6 million.

Through its wholly owned subsidiary, RO Real Estate – which acquires, manages and develops commercial property assets – purchased No 3-7 Town Quay from TH Real Estate.

Existing tenants include Bank of Scotland, the Department for Communities and Local Government and Lambert Smith Hampton.

There are two vacant floors totalling circa 8,725 sq ft which RO is currently refurbishing having agreed a letting at £170,000 per annum; on completion of this letting the property will be fully let.

LSH advised TH Real Estate on the sale of Southampton and CBRE advised RO.

Richard Bourne, head of RO Real Estate, said: “The acquisition in Southampton is evidence of our investment in strong regional markets.

"This is a good quality and extremely well-located asset which should prove reversionary given the occupational supply and demand dynamics.

“It also offers the opportunity to add value through an active asset management strategy.”

RO is obviously flush at the moment having just just achieved the largest single sale of an individual property asset in its history.

It sold the Staycity Hotel development in Birmingham’s Jewellery Quarter to KFIM Long Income Property Unit Trust (Knight Frank Investors) for almost £21 million.