Business
Property Disposals
Property Disposals.
About this update from Real Estate Investors Plc
[{"type":"text","content":"\n \n \n \n RNS Number : 9008E\n Real Estate Investors PLC\n 11 November 2020\n \n \n \n \n \n \n \n \n 11 \n \n \n November 2020\n \n \n \n \n \n \n Real Estate Investors Plc\n \n \n (\n \"\n REI\n \"\n or the \n \"\n Company\n \"\n or the \n \"\n Group\n \"\n )\n \n \n \n \n \n Property Disposals\n \n \n \n \n \n Real Estate Investors Plc (AIM: RLE), the UK's only Midlands-focused Real Estate Investment Trust (REIT) with a diversified portfolio of 1.59 million sq ft of investment property across all sectors, announces that it has unconditionally exchanged contracts on a number of properties, at or above book value, for a total consideration of £9.725 million.\n \n \n \n \n \n Capitalising on the strong private and corporate investor market, REI are pleased to announce the following unconditional exchanges:\n \n \n \n \n \n · \n Aldi supermarket, Bearwood, Edgbaston - due to the strong trading performance of this unit, Aldi have acquired the freehold for £5.350 million, representing a yield of 5.26%. The sale price reflects an increase of £1.296 million (32% uplift) in value against the December 2019 year end valuation of £4.053 million. As part of the sale agreement, the Company negotiated an extended completion date of September 2021 and REI will continue to benefit from £300,000 per annum rental income until this date, demonstrating heightened demand for convenience retail.\n \n \n \n · \n 315-317 & 319 High Street, West Bromwich - vacated offices\n which have become in need of refurbishment, sold for £625,000, which reflects our current valuation and is contracted to complete in January 2021. \n \n \n \n \n \n · \n Land at Coseley, West Midlands - sold for a minimum of £1.150 million, with a potential additional £350,000, subject to the completion of a local authority grant application by the purchaser, Countryside Properties PLC, with completion contracted to take place in December 2020.\n \n \n \n \n \n · \n City Gate House, Leicester - sold for £2.6 million and due to complete in December 2020, following exchange in 2018 - REI has benefitted from the ongoing rental income during the interim period.\n \n \n \n \n \n \n \n \n Upon completion, the associated rental reduction from the disposal considerati...