The headquarters of the Metropolitan Police has been sold to Middle Eastern investors for £120 million above the guide price after intense global interest from bidders.

New Scotland Yard, situated in a prime central London location, sold for £370 million to multi-billion dollar alternative investment company Abu Dhabi Financial Group (ADFG) after 11 credible bids.

Headquarters of the Met Police since 1967, the building was put on the market by the mayor's office for policing and crime (Mopac) in September, for a guide price of £250 million.

The proceeds of the sale - which secured three times what was originally paid for the site freehold in 2008 - will be invested in technology for police officers such as tablets, smartphones and body cameras.

Marketed as Ten Broadway, the 1.7-acre site and 600,000 square foot building attracted intense interest from around the world.

Having financed other central London developments, including the 1 Palace Street project adjacent to Buckingham Palace, ADFG now proposes to create a mixed-use residential development on the site, the mayor's office said.

The group said it plans to create a "world-class development".

The operational HQ of the Met is now on the move to the Curtis Green building on Victoria Embankment and will continue to be known as Scotland Yard.

The current New Scotland Yard site, situated next to St James's Park Tube station and famed for its revolving triangle sign which will move to the new site, will become residential, and will probably also feature offices and a hotel, according to London mayor Boris Johnson.

Asked if he feared there would be criticism that an investor from overseas has again bought up prime property in the capital, Mr Johnson said there is no economic difference between "having an investor from Abu Dhabi or having the BP pension fund do this".

He added: "Anybody who thinks otherwise is, I'm afraid, completely economically illiterate."

Currently undergoing a £58 million transformation into a slimmed-down HQ, the Met's relocation is predicted to save the force more than £6 million a year in running costs.

Mr Johnson described the new HQ as a "pretty nondescript building...a lovely building obviously".

He said that while New Scotland Yard would be redeveloped, the "special triangle jobby" - the revolving sign outside - would be kept.

He added: "The Met Police has a unique place in history and they need a home fit for the future, but police budgets are under real pressure.

"The sale of this under-used and outdated building means we can now not only protect that rich heritage, but also fund the new HQ and kit out bobbies with the latest mobile technology to secure the future of the force.

"This landmark deal allows us to preserve the past whilst giving today's Met a vital cash boost so our officers can go on keeping London safe."

Jassim Alseddiqi, chief executive of ADFG, said: "Ten Broadway will be one of the most important redevelopment projects undertaken in Central London this decade, replacing a world famous headquarters with a world class development.

"With the bid process now complete, we look forward to creating an exceptional new landmark for London."

Commissioner of the Metropolitan Police, Sir Bernard Hogan-Howe, said: "Police funding continues to be under extreme pressure. We now expect to need to making savings of up to £1.4bn by the end of the next spending review, including some £600m which we will have delivered by 2015/16.

"This is equivalent to a third of the Met's original budget so this money is absolutely vital to us.

"It will allow us to reinvest in our remaining estate and in the technology needed to support our officers as they fight crime and support victims. It is only with this kind of intelligent investment that we will be able to do more with less."