Sirius Real Estate, listed owner of branded business and light industrial parks in Germany and the UK, said yesterday it disposed of Maintal industrial park at a premium to book value and had made acquisitions in North London in terms of its asset recycle programme.
The industrial park in Maintal, in Germany’s south-west Hesse region, had been notarised and was sold for €40.1 million, representing a net initial yield (NIY) of 5.7%. The disposal was at about 6% above the last reported book value.
“The Maintal industrial park offered Sirius little potential for further value creation, however its strategic location made it attractive to the purchaser, a trend we have witnessed in past disposals of mature assets,” the group said in a statement.
The BizSpace subsidiary acquired for £33.5m, three assets in North London, from a closed ended fund.
“The assets are based in busy suburban areas, with two in the Borough of Islington and one in the Borough of Camden. The assets have a combined area of 103 962 square feet of primarily multi-let studio workspaces and occupancy rate of just under 70%, which the group views as providing significant potential for growth.”
Sirius CEO Andrew Coombs said: “The Maintal disposal at a premium to book value has allowed us to capitalise on demand for this high-quality property. The completion of our acquisition of the properties in London at a 7.3% NIY with only a 70% occupancy, represents a good example of our strategy of recycling capital from mature assets into those where we believe we can grow income and value through our operating platform.”