London and Oriental logo

T +44 (0) 20 7355 2888
you are here home » Properties

Data Centre


ADDRESS Anchorage Point, Charlton, London SE7


Location Charlton, London SE7 Investment Date February 2008
Transaction Type Joint Venture
Warehouse refurbishment
Plant & Machinery installation
Project Cost Site £5.9m
Asset Type Datacentre Disposal Date Unrealised
Funding Senior debt & Mezzanine debt Sale Proceeds Unrealised

Transaction Summary / Opportunity


Description: A Freehold warehouse building , leased to Tiscali as a data processing centre.

Opportunity: to acquire the freehold and leasehold interests, and refurbish the datacentre to provide a fully fitted datacentre to be occupied by the Joint Venture partner BIS.

Acquisition Method: Private Treaty

   
 

Value Added


  • Established a Joint Venture agreement with BIS, an expanding Managed Service Operator of Datacentres
  • Refined the business plan to create a model that could be used on future joint ventures
  • Appointed a team of consultants for the JV partners to agree a specification of works suitable for a Tier 3 datacentre.
  • Negotiated purchase of Freehold, Leasehold improvements, clarification of planning use and leaseback terms to the Managed Service Operator concurrently
  • Obtained full planning consent.
  • Obtained increased power supply.
  • Installed plant and machinery within the building and generators and air-conditioning plant on the car parking area outside to provide a fully fitted datacentre within 6 months; the datacentre was finished substantially to Tier 3 standard having network connectivity and 1 KW per m2 power supply.
  • Created new racking for Tiscali on a new 5 year sublease from the Managed Service Operator.
  • Entered a new lease with BIS, the Managed Service Operator, for 25 years as a fully fitted datacentre.
  • Rental Income after first year will achieve an ungeared Return on Cost of 12.8%.