Regional REIT sells industrial portfolio – Regional REIT, the UK regional office and industrial property focused real estate investment trust, today announces it has exchanged and completed on the disposal of an industrial property portfolio for GBP39.1m. This reflects a net initial yield of 6.9%.
The sold industrial portfolio comprised of 15 industrial property assets, 54 units, and 42 tenants amounting to 610,620 sq ft.
The sale price represents an uplift of 24.1% against the 31 December 2017 valuation.
Over the ownership of the portfolio, several asset management initiatives have been instigated which have improved occupancy rates and rental income such as a series of renovations, and the subdivision of some of the larger units.
Stephen Inglis, chief executive officer of London & Scottish Investments Limited, the asset manager commented: “This disposal is a further example of Regional REIT’s opportunistic approach. The current investor demand for industrial assets provides us with the opportunity to realise returns at a significant premium to the property valuation, and recycle capital into other assets where we can apply our active asset management strategies.”
RGL : Regional REIT sells industrial portfolio