Glenstone REIT has acquired Clifford Property in an NAV for NAV all paper share purchase.
Clifford Property, which has been around for 100 years, has a mixed-use portfolio of assets in the South East of England worth £12.3m, with approximately 75% of the portfolio’s capital value located inside the M25 motorway.
The gross running yield of Clifford’s portfolio (6.75%) mirrors that of Glenstone’s. As part of the transaction Glenstone has also acquired a cash balance of circa £1.4m and the approximate value of the deal totals £13.5m.
Ben Green (pictured), managing director of Glenstone, said: “We are thrilled to welcome Clifford to Glenstone. Our existing shareholder base and Clifford’s are aligned in their investment approach and core values. Clifford have invested prudently and join the group carrying no existing debt. This transaction illustrates the huge benefits of private property companies taking corporate paper into our REIT structure. Our ambitions remain to grow Glenstone whilst maintaining an accessible board and structure for all shareholders.”
Following completion of the deal the Glenstone group will have a combined net asset value of circa £135m.
