The prominent office building in Aberdeen's west end is set for renovations and new tenants.
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In a significant development for Aberdeen’s commercial real estate sector, Royfold House, a notable office building located in the city’s west end, has been successfully sold to Canadian investors following a recent auction. Previously occupied by KPMG, this prime property was listed with a guide price of £350,000 and spans an impressive 23,000 square feet, featuring 100 parking spaces and secure entry.
Details of the sale and future plans
A spokesperson for Rubislaw Estates, the firm that facilitated the transaction, revealed that the building had previously failed to sell at auctions held in December and February. However, after some negotiation, the deal was finalized.
The spokesperson emphasized the need for more incentives to attract investors to the area, highlighting the potential for further development in Aberdeen’s commercial landscape.
The Canadian investors, whose identities remain undisclosed, have expressed intentions to refresh the property for new tenants. With flexible configurations available, prospective tenants can choose spaces ranging from 2,000 square feet to the entire building size. This flexibility is expected to cater to a variety of business needs, making it an attractive option for companies looking to establish themselves in a prime location.
Location advantages and market insights
Royfold House is strategically located next to Rubislaw Quarry, an area that is home to several well-known businesses, including Chevron and Regus, as well as a nearby PureGym. The spokesperson noted that the Canadian investors have been active in the city’s commercial market for over 40 years, demonstrating their commitment to the region despite recent challenges posed by local council rates.
“They continue to invest despite the best efforts of the council’s rates department,” the spokesperson stated, pointing out that the previous three-month rates holiday has been replaced by substantial rates demands upon new ownership. This shift in policy could impact future investments, but the Canadian investors remain optimistic about the potential of Royfold House.
Potential uses and community impact
During the auction, Acuitus consultant Mhairi Archibald highlighted the diverse potential uses for the space, which could include leisure and retail opportunities. “It’s fantastic office space,” she remarked, adding that its prime location is surrounded by residential areas, providing ample scope for amenities that could benefit both tenants and the local community.
With the building having recently operated as a serviced office, the transition to new ownership opens up exciting possibilities for revitalization. The Canadian investors’ plans to modernize the space could not only enhance the building’s appeal but also contribute positively to the local economy by attracting new businesses and creating job opportunities.
