Hudson Quarter leases Grade A space to Great Rail Journeys

Great Rail Journeys, the tour operator headquartered in York, has leased the fourth and fifth floors, including the top floor terrace, of the building on a 10 year lease.

The new letting brings office occupancy at Hudson Quarter, which completed in April, to 41 per cent with a further 3,600 sq ft currently under offer.

Great Rail Journeys has a tenant’s option to break at the end of the sixth year at an average headline rental of £26 per sq ft subject to a short rent free period.

It has also taken 10 car parking spaces at an additional £22,500 per year which is index linked annually, which would take the ultimate rent payable to £315,787 per year.

Hudson Quarter has a total of 39,200 sq ft of office space which is EPC ‘A’, BREEAM Excellent and WiredScore Platinum rated.

In 2020, Palace Capital set a new record for office rents in York in February 2020 when it leased 4,700 sq ft at £25 per sq ft to solicitors Knights LLP.

Neil Sinclair, Palace Capital's chief executive, said: “The latest letting we have secured at Hudson Quarter, York reflects the renewed demand we are seeing among occupiers for high quality, well connected office space, as well as the higher levels of office returns in the regions.

"When we launched Hudson Quarter, it was the first grade A office space to be available in the York market for over 15 years and with constrained supply and an additional 3,600 sq ft under offer, we are pleased with the progress we are making against this market backdrop."

JLL acted for Palace Capital and Sanderson Weatherall acted for the tenant.

The commercial property team at Blacks Solicitors represented Great Rail Journeys during the process.

Palace Capital has a diversified portfolio of UK commercial real estate in selected locations outside of London with a focus on the office and industrial sectors.