Addleshaws spends £5.5m on new building

Addleshaws spends £5.5m on new buildingAddleshaw Goddard‘s cash reserves dropped by £5.5m in the 2007-08 financial year as a result of taking on new London headquarters.

According to the firm’s LLP accounts, Addleshaws had £11m in the bank and in hand at the end of the financial year compared with £16.5m at the end of the previous financial year.

Managing partner Mark Jones said: “We had a number of costs for items at the new Milton Gate offices, such as professional fees and investment spend and the year on year cash movement was £5m.”

The firm signed a lease on a 200,000 sq ft single site City office at Milton Gate earlier this year and is believed to be paying £53.50 per square foot. The firm has agreed terms on a seven-year loan, provided by more than one bank, which will cover about 80 per cent of the fit-out cost.

Work on the fit out will start in January 2009 with the firm expected to move into the property next autumn.

Addleshaws will sub-let the fifth floor of the new office and is also looking to rent out half of one further floor for three years.

Addleshaws currently pays £3m rent on 80,000sq ft in Aldersgate Street and £1.4m on 45,000sq ft in Noble Street.

According to comments made by Mark Jones in October ( 20 October 2008) the firm currently has tenants lined up for both the buildings it is exiting.

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