31st Oct 2024 10:47
Custodian Property Income REIT PLC - Leicester-based real estate investment trust focused on UK commercial property - Sells a vacant office unit in Solihull, West Midlands for GBP1.4 million, representing a 33% premium to its June 30 valuation. The company acquired the office in 2015, and it delivered an average yield of around 7.0%.
Managing Director of Custodian Capital Ltd Richard Shepherd-Cross says: "Given limited opportunities for future rental growth and in line with our strategy, we felt that now was the right time to sell and crystallise a profit for our shareholders. The sale demonstrates the continued demand for smaller lot-sized regional assets, particularly from owner occupiers, and we expect to use the sale proceeds to repay variable rate debt, which will further reduce our interest costs. It also allows the company to fund improvements to the remaining portfolio."
Current stock price: 80.43 pence, up 0.3% in London on Thursday morning
12-month change: down 2.0%
By Emily Parsons, Alliance News reporter
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