24th Dec 2015 07:11
LONDON (Alliance News) - Segro PLC on Thursday said it has sold its portfolio of offices on the Bath Road in Slough for GBP325 million.
The sale price represents a net initial yield of 5.6%, a topped-up net initial yield of 6.3% and a small premium to book value at June 30. The transaction is expected to complete in January.
The proceeds of the sale will be used to reduce Segro's gearing and to fund its development pipeline.
The real estate investment trust said it expects the disposal to reduce adjusted post-tax profit by GBP9.5 million in its full financial year.
"The sale of the Bath Road offices is a key part of our strategy to focus on developing, owning and managing modern warehousing and light industrial property in and around major conurbations and at key transportation hubs," Chief Executive David Sleath said in a statement.
He added that the company remains "fully committed" to continued investment in the rest of the Slough Trading Estate.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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