1st Jun 2020 08:54
(Alliance News) - CLS Holdings PLC on Monday said it has acquired Georg-Elser-Strasse 7, an office building in Nuremberg, Germany, for EUR18.2 million.
The western Europe-focused property investor said the four-storey office building comprises 5,913 square metres of space fully let to German telecommunications company, Deutsche Telekom AG. It added that the asset has a weighted average unexpired lease term of seven years to breaks with EUR1.1 million net rent per annum, reflecting a net initial yield of 5.8%.
"This deal brings another compelling property and an exceptional tenant to the CLS portfolio. The long lease remaining on the building will give consistent income at a strong yield, while allowing us to explore ways to deliver further value over the longer-term. Nuremberg is an exciting and growing city for business and the asset's quality and proximity to key transport links will ensure it remains an attractive proposition," said CLS Chief Executive Fredrik Widlund.
The acquisition will be financed by CLS and Sparkasse Nurnberg.
Shares in FTSE 250-listed CLS were trading 0.5% higher at 198.40 pence each on Monday morning in London.
By Ife Taiwo; [email protected]
Copyright 2020 Alliance News Limited. All Rights Reserved.
Related Shares:
CLS Holdings