THE iconic Edinburgh building which houses Diageo's Johnnie Walker experience is for sale, seeking offers of more than £31.58 million.
The news comes as the experience, which operates in the building, celebrates a major milestone this week. The venue has welcomed over 1 million visitors from 141 countries just three years since opening its doors.
The property is let to Diageo Scotland on a 25-year lease, expiring in August 2044, at a current annual rent of £1.85m.
Property consultancy JLL said it has been instructed to seek offers in the region of more than £31.58m for the building in Edinburgh’s west end “subject to contract and exclusive of VAT.”
READ MORE: Scottish Government offered to pay to repatriate Alex Salmond's body
JLL said Johnnie Walker Princes Street is the centrepiece of Diageo’s £185m investment in whisky tourism in Scotland.
“Situated in a landmark corner position at the junction of Princes Street and Edinburgh’s traditional West End, with stunning views overlooking Edinburgh Castle,” said JLL.
“The property is an iconic former bank and department store, extending across an internal area of 74,895 sq ft.”
JLL said a purchase at this level “would reflect a net initial yield of 5.50% and a projected reversionary yield of 6.38% in August 2029, based on Oxford Economics Forecasts, allowing for standard purchaser’s costs based on LBTT.”
JLL described the purchase as a “unique opportunity” to acquire the building that houses the multi award-winning, flagship visitor experience.
It said: “More Scotch whisky is enjoyed globally than American, Japanese and Irish whiskies combined and Scotch whisky visitor centres are collectively the most popular tourist attraction in Scotland.
“Diageo is a global leader in premium drinks, with over 200 brands including Johnnie Walker, Guinness, Smirnoff, Tanqueray and Baileys sold across 180 countries worldwide.
“Diageo Scotland Limited reported 2023 FY turnover of £2.6 billion, pre-tax profits of £960 million and shareholder’s funds of £3.97 billion.”
Why are you making commenting on The National only available to subscribers?
We know there are thousands of National readers who want to debate, argue and go back and forth in the comments section of our stories. We’ve got the most informed readers in Scotland, asking each other the big questions about the future of our country.
Unfortunately, though, these important debates are being spoiled by a vocal minority of trolls who aren’t really interested in the issues, try to derail the conversations, register under fake names, and post vile abuse.
So that’s why we’ve decided to make the ability to comment only available to our paying subscribers. That way, all the trolls who post abuse on our website will have to pay if they want to join the debate – and risk a permanent ban from the account that they subscribe with.
The conversation will go back to what it should be about – people who care passionately about the issues, but disagree constructively on what we should do about them. Let’s get that debate started!
Callum Baird, Editor of The National
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules here