Custodian REIT plc (CREI) Custodian REIT plc : Purchase of Property 30-Nov-2020 / 07:00 GMT/BST Dissemination of a Regulatory Announcement that contains inside information according to REGULATION (EU) No 596/2014 (MAR), transmitted by EQS Group. The issuer is solely responsible for the content of this announcement. 30 November 2020 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 property purchase. The Company has acquired four industrial units covering an aggregate 23,250 sq ft on Hilton Business Park, Derby, one mile from the A50 which connects the M1 and M6. The units are occupied by M P Bio Science, Shakespeare Pharma and Jangala Softplay with a weighted average unexpired term to first break or expiry of 2.0 years. The units have an aggregate passing rent of GBP134,065 per annum, reflecting a net initial yield1 of 6.39%. The agreed purchase price of GBP1.975 million was funded from the Company's existing cash resources, resulting in net gearing2 increasing to 24.1% 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 modern industrial asset at an attractive yield. This acquisition pre-emptively deploys the disposal proceeds from some smaller retail asset sales expected to complete during December 2020, providing the Company with more potential for long-term rental growth." 1 Passing rent divided by purchase price plus assumed 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 Tel: +44 (0)116 240 8740 Imlach / Ian Mattioli MBE www.custodiancapital.com [1] Numis Securities Limited Hugh Jonathan/Nathan Brown 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 principally characterised by small lot sizes, with individual property 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 smaller lot size 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 [2] and www.custodiancapital.com [1]. ISIN: GB00BJFLFT45 Category Code: MSCU TIDM: CREI LEI Code: 2138001BOD1J5XK1CX76 OAM Categories: 3.1. Additional regulated information required to be disclosed under the laws of a Member State Sequence No.: 88697 EQS News ID: 1151311 End of Announcement EQS News Service 1: https://eqs-cockpit.com/cgi-bin/fncls.ssp?fn=redirect&url=c24dec6d0ea6c746569ddd52de0eca8d&application_id=1151311&site_id=vwd&application_name=news 2: https://eqs-cockpit.com/cgi-bin/fncls.ssp?fn=redirect&url=44eae66ce326b2005a19503bbab5faed&application_id=1151311&site_id=vwd&application_name=news
(END) Dow Jones Newswires
November 30, 2020 02:00 ET (07:00 GMT)