Acquisition

RNS Number : 9902V

CLS Holdings PLC

09 November 2017

 

CLS Holdings plc ("CLS") announces the acquisition of

Columbia Bracknell

CLS announces that it has acquired Columbia Bracknell, a multi-let office property in Bracknell, Berkshire for £14.7 million excluding costs.

The property comprises 54,291 sq ft (5,043 sqm) of office space which, with an occupancy rate of 79%, currently generates an annual rental income of £0.88 million, and a net initial yield of 5.6%. Once fully let, it is expected to produce £1.17 million per annum, reflecting a net initial yield of 7.5%.

Columbia Bracknell has been extensively refurbished throughout and now has a diversified tenant base, providing a stable income from 10 tenants and a weighted average unexpired lease term of 3.1 years. It is well-located between the main train station and the town centre, which has recently undergone a £240 million regeneration. The transaction will be financed from existing CLS cash resources.

Fredrik Widlund, Chief Executive of CLS, commented:

"The acquisition of Columbia Bracknell is consistent with our strategy of investing in multi-let, high-quality offices in and around major cities across our three core markets: the UK, Germany, and France. This acquisition complements our existing portfolio and offers several opportunities for us to add value through active management and to significantly increase the occupancy rate."

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For further information, please contact:

CLS Holdings plc                                                                                         www.clsholdings.com Fredrik Widlund, Chief Executive Officer John Whiteley, Chief Financial Officer	[phone]
Liberum Capital Limited Richard Crawley Jamie Richards	[phone]
Panmure Gordon (UK) Limited Dominic Morley Andrew Potts	[phone]
Elm Square Advisers Limited                                                                      Jonathan Gray	[phone]
Smithfield Consultants (Financial PR)                                                         Alex Simmons	[phone]

 

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