RDI, the income focused UK Real Estate Investment Trust (“UK-REIT”), is pleased to announce that it has completed the disposal of 127 Charing Cross Road for a headline price of £59.25 million to Nomura Real Estate UK Limited.
The disposal price reflects a 1 per cent premium to the 31 August 2020 valuation, a net initial yield of 3.1 per cent, based on the contracted rental income, and a capital value per of £1,481 per sq ft on the existing area. The property was acquired as part of the AUK portfolio acquisition in March 2016 for £42.6 million. The disposal price therefore reflects a 39.1 per cent increase in value since acquisition.
The growth in value has been supported by a successful asset management strategy including securing full planning permission, which provides an opportunity to increase the overall area of the property by 41.1 per cent through the development of three additional floors.
|Source : RDI REIT P.L.C.|