7th Jul 2014 06:58
LONDON (Alliance News) - Segro PLC Monday said it has agreed to sell its Pegasus Park in Brussels to funds managed by Ares Management LP in a deal worth EUR83.4 million.
Pegasus Park comprises a 81,500-square-metre office park, 90% of which was developed between 1999 and 2003, and seven hectares of development land adjacent to Brussels Airport.
FTSE 250-listed Segro said the sales proceeds are in line with the park's book value at the end of 2013 and represents a yield of 9.0%. Segro said this takes into account the EUR900,000 annualised running costs of its office at Pegasus Park, which will be closed as a result of the deal.
Completion of the transaction is expected in the third quarter 2014. Following the disposal, Segro will continue to own and manage assets in Belgium, principally, two core logistics assets held in the Segro European Logistics Partnership (SELP) joint venture.
Segro holds a 50% stake in SELP and acts as asset, property and development manager for the joint venture. Canada's Public Sector Pension Investment Board holds the remaining stake.
By Anthony Tshibangu; [email protected]; @AnthonyAllNews
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