Regional REIT sells The Point in Glasgow

Regional REIT sells The Point in Glasgow – Regional REIT has exchanged contracts to sell The Point Trade & Retail Park, Hamilton Hill, Glasgow for GBP14.1m. This reflects a net initial yield of 6.6%.

The 158,546 sq ft property was acquired in 2013 and comprises 11 individual units let on 10 separate leases. Over the five-year ownership of the property, several asset management initiatives have been instigated such as subdivision of some of the larger units to create smaller units. In addition, a series of renovations have resulted in increased rental income, which now totals GBP995,315 pa. The sale price represents an uplift of 5.6% against the 31 December 2017 valuation.

Completion is expected to take place in early July 2018.

Stephen Inglis, chief executive officer of London & Scottish Investments Limited, the asset manager commented: “This sale is another example of how Regional REIT looks to take advantage of opportunities to recycle capital on properties which have met their individual asset plans. Over the last five years, we have applied our strategy of active asset management at The Point, creating a fully let and stabilised property with robust rental streams. This has resulted in us achieving strong pricing from an institutional purchaser, and given us an excellent opportunity to realise returns.”

RGL : Regional REIT sells The Point in Glasgow