Business
Sale of the UK regional office portfolio
Sale of the UK regional office portfolio.
About this update from Cls Holdings Plc
[{"type":"text","content":"\n \nRNS Number : 3245Y CLS Holdings PLC 31 December 2019 \n\n \n PRESS RELEASE\n \nRelease date: 31 December 2019 \nEmbargoed until: Immediate release\n \n \nCLS Holdings plc (\"CLS\") \nannounces the sale of its UK regional office portfolio \n \nCLS announces the sale of a portfolio of 19 regional offices in the UK for an aggregate cash consideration of c.£65.0 million to Elite Capital Partners - a Singaporean investment firm. \n \nThe offices are located across the UK outside of the South East and, following major lease re-gears last year, have less active asset management potential. The sale of the portfolio is in line with our strategy of actively recycling our capital and focusing the UK portfolio on London and the South East. Following the completion of this transaction, CLS will hold only two assets in the UK located outside of the South East.\n \nThe sales of 17 of the 19 offices, which are held freehold or heritable title, have simultaneously exchanged and completed for £62.1 million. The sales for £2.9 million of the remaining two assets, which are held long leasehold, have exchanged and are expected to complete in Q1 2020, subject to the consent of the freeholder. All the offices were unencumbered at the point of sale. \n \nThe portfolio comprises 618,223 sq. ft and is 97.5% let on FRI leases to various UK Government bodies with a WAULT of 4.1 years to breaks. The portfolio has net rent of £6.5 million per annum at an average of £10.62 per sq. ft. The portfolio was valued at £66.4 million ...