Office real estate investment trust Great Portland Estates PLC divested the 27/35 Mortimer St. mixed-use building in London's Fitzrovia district for £38.5 million to Orchard Street Investment Management LLP on behalf of insurance company St. James's Place UK Plc.

The price reflects a net initial yield of 3.9% and a capital value of £1,242 per square foot, according to a release.

The fully leased office and retail building spans approximately 31,000 square feet, and generates a total rental income of £1.6 million per year. Sainsbury's Supermarkets Ltd. occupies the retail portion of the property.