Talks over the sale of a recently-opened office development in Edinburgh have been called off after a US firm pulled out of a deal with Zara founder and billionaire Amancio Ortega.
Pontegadea, the property investment firm owned by Mr Ortega, was in negotiations with US investment management firm Federated Hermes to acquire Capital Square for an estimated £75 million.
A report in Spain says the deal has been called off after Federated Hermes reviewed its strategy.
Squeezed on to a former gap site off between Morrison Street, Capital Square comprises 122,500sq ft of office space over eight floors.
It is home to law firms Pinsent Masons, Brodies, Eversheds and Anderson Strathern, along with other professional service firms including Mazars and Stantec.
A deal with Pontegadea was announced at the end of April and followed its interest in the nine-storey Mint Building in St Andrew Square, developed by the Chris Stewart Group.
Capital Square was built by BAM Properties, in partnership with Hermes Investment Management, in what was Edinburgh’s largest speculative office development, completed in 2020.
It has 166 parking spaces in a three-storey underground car park as well as 149 cycle spaces, 12 showers, drying areas and 120 lockers for cyclists and runners.
#Office #sale #talks #Zara #founder #called #Daily #Business