Picton Property Income Ltd - Asset Disposal
PR Newswire
London, January 30
31 January 2020
PICTON PROPERTY INCOME LIMITED
("Picton", the "Company" or the "Group")
LEI: 213800RYE59K9CKR4497
Warehouse Disposal Following Active Management
Picton has completed the disposal of a distribution warehouse in Lutterworth, Leicestershire for £15.9 million.
3220 Magna Park, is a 160,000 sq ft detached building constructed in 1989 and let to DHL. During the summer, Picton restructured the lease and secured a further three years term certain until a tenant break option in December 2022. As part of the same transaction, the December 2019 rent review was settled securing a 11% uplift to £1 million per annum, achieving one of the highest rents at the Park.
The sale price reflects a net initial yield of 5.8% and 4% uplift to the independent September 2019 valuation.
Michael Morris, Chief Executive of Picton, commented: "The disposal crystallises the upside created from this asset management initiative during the summer. The proceeds will be recycled in the short term to repay our revolving credit facilities and provide further funding for planned asset enhancement projects".
For further information:
Tavistock
Jeremy Carey/James Verstringhe, 020 7920 3150, james.verstringhe@tavistock.co.uk
Picton
Michael Morris, 020 7011 9980, michael.morris@picton.co.uk
Note to Editors
Picton, established in 2005, is a UK REIT. It owns and actively manages a £693 million diversified UK commercial property portfolio, invested across 49 assets and with around 350 occupiers (as at 30 September 2019). Through an occupier focused, opportunity led approach to asset management, Picton aims to be one of the consistently best performing diversified UK focused property companies listed on the main market of the London Stock Exchange.
For more information please visit: www.picton.co.uk
ENDS
