21st Jun 2016 06:37
LONDON (Alliance News) - Custodian REIT PLC on Tuesday said it has bought a portfolio of three properties in England for GBP11.5 million, with a current passing rent of GBP1.0 million, and a net initial yield of 8.04%.
The portfolio includes a 25,471 square foot office on Pegasus Business Park, Castle Donington, a 16,470 square foot office in Cheadle, Greater Manchester, and a 119,600 square foot industrial unit in Wolverhampton.
Custodian REIT said it had funded the acquisition from its cash resources, following the drawdown of a new GBP45 million term loan earlier in the month.
"We are very pleased to have secured the portfolio which is well aligned to our investment strategy, comprising good quality, smaller lot size, regional office and industrial assets. The properties are single let and occupied by strong tenants that are committed to the locations. The portfolio also offers the potential for proactive asset management, with a number of opportunities identified and explored with stakeholders during the due diligence process," said Richard Shepherd-Cross, managing director of Custodian Capital Ltd, the company's discretionary investment manager.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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