Custodian REIT PLC Purchase of Property (0482F)
15 May 2017 - 4:01PM
UK Regulatory
TIDMCREI
RNS Number : 0482F
Custodian REIT PLC
15 May 2017
15 May 2017
Custodian REIT plc
("Custodian REIT" or "the Company")
Purchase of Property
Custodian REIT (LSE: CREI), the UK property investment company,
is pleased to announce a further property purchase.
The Company has acquired three units within the 33,270 sq ft
Coypool retail park in Plymouth, near the town centre and adjacent
to the A38 Devon Expressway. The units are occupied by Oak
Furniture Land, SCS and McDonald's, with nearby retailers including
Bensons for Beds, B&M, Harveys Furniture, Next Home and
DFS.
The units' leases expire on 6 June 2025, 13 October 2026 and 28
September 2031 respectively with a total passing rent of GBP538,226
per annum, reflecting a net initial yield(1) of 6.74%.
The agreed purchase price of GBP7.487 million was funded from
the Company's existing debt resources, resulting in net gearing(2)
increasing to 18.3% loan to value.
Commenting on the acquisition, Richard Shepherd-Cross, Managing
Director of Custodian Capital Limited (the Company's discretionary
investment manager), said:
"We are delighted to have secured this prominently located
property within Plymouth's principal retail warehouse location. SCS
and Oak Furniture Land have both installed comprehensive mezzanine
trading areas and all three tenants have recently committed to the
location by agreeing to long term leases. This acquisition further
diversifies our tenant mix through the addition of three strong,
nationally established tenants."
(1) Portfolio passing rent divided by portfolio valuation plus
estimated purchasers' costs.
(2) Gross borrowings less unrestricted cash divided by last
published property portfolio valuation.
-Ends-
For further information, please contact:
Custodian Capital Limited
Richard Shepherd-Cross / Nathan Imlach / Tel: +44 (0)116 240 8740
Ian Mattioli MBE
www.custodiancapital.com
Numis Securities Limited
Nathan Brown / Hugh Jonathan Tel: +44 (0)20 7260 1000
www.numiscorp.com
Camarco
Ed Gascoigne-Pees Tel: +44 (0)20 3757 4984
www.camarco.co.uk
Notes to Editors
Custodian REIT plc is a UK real estate investment trust, which
listed on the main market of the London Stock Exchange on 26 March
2014. Its portfolio comprises properties predominantly let to
institutional grade tenants on long leases throughout the UK and is
characterised by properties with individual values of less than
GBP10 million at acquisition.
The Company offers investors the opportunity to access a
diversified portfolio of UK commercial real estate through a
closed-ended fund. By targeting sub GBP10 million lot size,
regional properties, the Company intends to provide investors with
an attractive level of income with the potential for capital
growth.
Custodian Capital Limited is the discretionary investment
manager of the Company.
For more information visit www.custodianreit.com and
www.custodiancapital.com.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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