Temple Quay, Bristol

 On 4 July 2002, the Fund purchased the freehold interest in 2 Temple Back East, a trophy office building located close to Temple Meads railway station in Bristol. The building was fully let to the legal firm Osborne Clarke for a period of 20 years, with no break clauses, at a rent of £22 per sq ft, representing an initial rental yield on purchase of 6.63%.

In August 2005, the Property Manager commissioned a report from a major surveying practice to determine the prospects for achieving a rental uplift at the next rent review in September 2007. The report concluded that, despite strong occupational demand in Bristol, there was likely to be nominal rental uplift at review. As a consequence, the Property Manager decided to market the property in order to capitalise on the strong demand from investors for grade A office buildings. The property attracted a high level of interest, mainly from institutional investors, and terms were agreed to sell the building to Clerical Medical for £34.25 million, representing a purchase yield of 5.15%. Completion of the sale to Clerical Medical took place on 21 December 2005. Investors received total distributions of £47,319 per £25,000 equity participation, representing an IRR of 19.6%* per annum.

The Fund has now been dissolved.

Key Facts
Launch Date	Summer 2002
Activity	Investment
Equity	£5.5m
Original Fund Size	£26.6m