9th Jun 2009 14:57
ING UK Real Estate Income Trust Limited (IRET)
9 June 2009
ING UK Real Estate Income Trust announces further disposal following debt restructuring
ING UK Real Estate Income Trust Ltd ("IRET" / "the Company"), a Guernsey registered closed-ended investment company, today announces that it has exchanged contracts on the sale of an office property at Arena Court, Crown Lane, Maidenhead, for a total consideration of GBP 9.68 million. Completion is due later this month.
The sale of the property follows a lease restructuring last year, which moved the tenant expiry from 2009 to 2019. The sale price reflects a yield of 9% and is in line with the March valuation.
Upon completion the Company will hold approximately GBP 34 million within its securitised facility, which it will use to prepay the loan as agreed under the terms of the restructuring announced recently.
Michael Morris, Fund Manager said:
"This disposal is part of the Company's ongoing strategy to dispose of assets where the business plan has been completed to provide further covenant headroom. Following the changes agreed to the Company's securitised loan facility in May this will further help to ensure the business maintains operational flexibility and supports a fully covered dividend."
For further information:
The Company Secretary
Northern Trust International Fund Administration Services (Guernsey) Limited
Trafalgar Court
Les Banques
St Peter Port
Guernsey
GY1 3QL
Tel: 01481 745480
Fax: 01481 745085
ING Real Estate Investment Management (UK) Limited
Helen Stott, 020 7767 5648, [email protected]
Financial Dynamics
Dido Laurimore/Laurence Jones, 020 7831 3113
END
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