11th Jun 2014 10:21
LONDON (Alliance News) - Green REIT PLC Wednesday said it has exchanged contracts with the Cosgrave Property Group to acquire a portfolio of commercial real estate assets in Dublin for EUR375 million.
Green REIT said the deal will be funded from the company's existing cash. It also intend to raise bank debt against these assets, the process for which will commence shortly.
The portfolio comprises office buildings at Georges Quay and George's Court, Dublin 2, and retail and other commercial space in Westend Retail Park, Blanchardstown, Dublin 15.
Dublin 2 and Dublin 15 refer to postal districts used by Ireland postal service.
Green REIT said the portfolio is currently 97% occupied, with passing rent of EUR23.7 million a year.
Passing rent is the gross rent, less any ground rent payable under head leases.
Following this transaction, the company's passing rent will be EUR50 million a year from 19 properties, 96% of which by value are in Dublin, with an initial yield of 7% and a total occupancy rate of 92%.
Green REIT shares were quoted up 1.1% at EUR1.33 Wednesday morning.
By Anthony Tshibangu; [email protected]; @AnthonyAllNews
Copyright 2014 Alliance News Limited. All Rights Reserved.
Related Shares:
GRN.L