10th Jun 2024 13:53
(Alliance News) - CLS Holdings PLC on Monday said it sold or unconditionally exchanged on the sale of two office properties in the UK and Germany.
The London-based commercial property investment company said that on Wednesday last week it completed the sale of Aqueous II, a 35,992 square foot office building in Birmingham, England.
Hansastrasse, a 42,902 sq ft office building in the German city of Dortmund, unconditionally exchanged on May 29, with completion expected in July.
Combined, the properties sold for GBP10.7 million, reflecting a 5.0% discount from December 31 valuations.
Chief Executive Officer Fredrik Widlund said: "We remain focused on having the highest quality, sustainable, modern offices in our locations. Both properties recently sold were part of previous portfolio acquisitions and no longer align with our long-term strategic objectives.
"We have significant opportunities in our portfolio and the disposals are in line with our previously announced strategy to reduce leverage in preparation for growth."
In the most recent annual report, CLS announced the company was targeting to sell up to six properties with a book value of GBP172.7 million in 2024.
This latest round of disposals follows the sale of Westminster Tower in London, as announced in April, for GBP40.8 million. The sale completed last week on Friday with half of proceeds deferred for three months.
In addition, the company said its Spring Mews Student accommodation in Vauxhall, London has in recent months generated "significant interest" with the CLS receiving first stage bids from several parties which are currently under review.
CLS shares were up 3.2% to 88.50 pence each in London on Monday afternoon.
By Elijah Dale, Alliance News reporter
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