Archived article
Please note that tax, investment, pension and ISA rules can change and the information and any views contained in this article may now be inaccurate.
(Corrects that the showroom is let to Volkswagen AG, not sold to it. Buyer is not disclosed.)
Custodian REIT PLC on Wednesday said it sold a 24,178 square foot car showroom in Derby to an undisclosed ‘special purchaser’.
The £5.6 million sale was £1.2 million, or 26%, ahead of its March 31 valuation, the Leicester, England-based real estate investment trust said. The price tag represents a 5.7% net initial yield.
The showroom is let to German's Volkswagen AG.
‘This asset has provided a healthy level of income over our five years of ownership and is being sold to a 'special purchaser' at a significant profit. We have a strong pipeline of assets on which to redeploy the proceeds of this sale with better rental growth and asset management prospects,’ said Richard Shepherd-Cross, managing director of Custodian REIT's external fund manager, Custodian Capital Ltd.
Custodian REIT shares were 1.4% higher at 102.18 pence each in London on Wednesday morning.
Copyright 2022 Alliance News Limited. All Rights Reserved.