14th Oct 2019 08:14
(Alliance News) - CLS Holdings PLC said Monday it has acquired office property Pacific House in Reading, England, for GBP14.9 million, with a net initial yield of 7.3%.
The building is currently 92% let to seven tenants, with a weighted average unexpired lease term of four years. Pacific House is leased at an average of GBP21 per square foot.
The FTSE 250-listed property investor will look to upgrade the building, and lease the remaining space over the next few years.
"Reading is an exciting location for offices as companies continue to look for more affordable alternatives to London. It is already home to a number of blue-chip occupiers and we look forward to working with the tenants to upgrade the space in due course," said Chief Executive Fredrik Widlund.
"CLS continues to focus on acquiring assets at attractive yields in the UK market with strong cashflow and diverse income streams," Widlund added.
Shares in CLS Holdings were down 3.3% at 252.46 pence on Monday morning in London.
By Dayo Laniyan; [email protected]
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