Signs of recovery in the UK commercial property market were reinforced yesterday with the news that British Land bought an office space development for £40.35m in the West End.

The British Land purchase is the largest purchase in the investment market of Central London in the past year, even more notably marked, due to the fact that it is the first acquisition by British Land since the credit crisis began in 2007.

As a result of the purchase of 39 Victoria Street, British Land shares skyrocketed to 492p from 19.1p.

Bank of America is signed to let the building until July of 2012 and currently pays a rent of £47 per square foot. However, the bank itself does not reside in the building, instead subletting the shared office space to nine separate tenants.

Head of offices at British Land, Tim Roberts, said that the new Victoria street purchase strikes a nice balance for the company, by increasing their ownership weight in the West End, while at the same time balancing their office portfolio.

Last month in September property values rose by 1.1pc, which was the largest month on month gain over the last three years, but amidst poor office space demands there is concern that businesses could aid the market in falling backwards again, just as easily.

However, despite the banking crisis the BNP Paribas Real Estate company named the financial sector as the most in need of office space. It remains to be seen if this is a genuine turning point in the office space market or just one good point, in a dreadful market.

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