23rd Jan 2014 11:38
LONDON (Alliance News) - Redefine International PLC Thursday said it has sold St Anne's House, a vacant office building in Croydon, for GBP3.4 million more than its book value at the end of August 2013.
The property was sold for GBP8.4 million to an unnamed Guernsey registered fund.
"As the investment and development market improves, we are assessing a number of other assets across the portfolio, which offer the potential to benefit from initiatives such as securing change of use, enabling us to realise additional value for shareholders," Mike Watters, chief executive, said in a statement.
He also said the deal would enable the real estate investment trust to "recycle the proceeds" into other areas of its portfolio.
St Anne's House was previously occupied by the UK Home Office and formed part of the legacy Government Portfolio acquired by Redefine International when it merged with Wichford in 2011.
The property was sold after planning permission was received in September for a redevelopment of the office building into a 144 bed hotel, along with 46 residences on its upper floors.
St Anne's House is located opposed the Whitgift shopping centre in Croydon Town Centre, which is also being redeveloped.
Redefine shares were Thursday quoted at 53.34 pence, up 0.09 pence, or 0.2%.
By Samuel Agini; [email protected]; @samuelagini
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