24th Oct 2016 06:50
LONDON (Alliance News) - CLS Holdings PLC on Monday said it has sold two office properties, located in north west London and in the south of France, to "unlock capital" for reinvestment.
The FTSE 250 property developer said it sold its Chancel House office property to the Department of Communities and Local Government on behalf of the Education Funding Agency for GBP18.7 million. The price was 39% above the London property's valuation at December 31.
The disposal was agreed in early September, and will provide educational services in the London borough of Brent. The property comprises of 74,700 square feet of office space and 189 on-site car parking spaces. Around 44% of the property is currently vacant and the sales price represents a net initial yield of 3.3%.
CLS Holdings said it also recently completed a second disposal, of its Chorus office property in Antibes, France. The office property was sold for a price of EUR9.4 million, 2.4% above its December 31 valuation, CLS said.
"Chancel House and Chorus presented opportunities to realise immediate value and to refine our portfolio. Their sales are in line with our strategy and unlock capital that can be reinvested in higher yielding opportunities elsewhere," said Chief Executive Fredrik Widlund.
By Hannah Boland; [email protected]; @Hannaheboland
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