Purchase of Property

RNS Number : 0351F

AEW UK REIT PLC

09 November 2015

 

 09 November 2015

AEW UK REIT plc

AEW UK REIT PLC ACQUIRES INDUSTRIAL INVESTMENT

The Board of AEW UK REIT plc (the "Company") is pleased to announce the acquisition of an industrial warehouse of approximately 43,207 sq ft.  Equinox, Castlegate Business Park, Salisbury, let to Equinox International Ltd with WAULT of 1 year to break and 6 years to expiry, has been bought for £2.0m (net of acquisition costs) reflecting a net initial yield of 11.3%, reversionary yield of 9.2% and a capital value of £46 per sq ft.

The Property is situated at the western end of Castlegate Business Park, an established industrial area located 3 miles north of Salisbury town centre.

With this purchase, the Company has approximately £83m invested, including £9.75m in AEW UK's Core Property Fund, and 16 properties.

The Company is a real estate investment trust ("REIT"), which aims to deliver an attractive total return to shareholders from investing predominantly in a portfolio of smaller commercial properties in the United Kingdom. The Company was listed on the Official List of the UK Listing Authority and admitted to trading on the Main Market of the London Stock Exchange on 12 May 2015, raising £100.5m.

Commenting on the deal, Alex Short, REIT Portfolio Manager at AEW UK Investment Management LLP, said, "We are pleased to have acquired this industrial warehouse, which is well located and we feel positive that the pricing of this asset is well supported by its underlying vacant possession value."

For further information, please contact:

AEW UK Investment Management LLP Dana Eisner/Nicki Gladstone	020 7016 4800
Capita Company Secretarial Services Limited Marco Murray	020 7954 9792
Dexion Capital plc Katie Standley	020 7832 0900

 

END

 

 

ACQFKLFBEFFZFBV