Custodian Property Income REIT has sold a high street retail unit in Bury St Edmunds at auction for £0.54m – £0.14m (35%) ahead of valuation.
Richard Shepherd-Cross, managing director of Custodian Capital – the company’s external fund manager – said: “Having recently increased the lease term by five years, but with annual rent decreasing from £53k to £40k, now was the right time to sell and crystallise a valuation uplift.
“We did not anticipate rents recovering and this disposal continues our planned programme of selling non-prime high street retail assets. We expect to recycle the sale proceeds into improvements to the remaining portfolio which we believe will better support the strategy of providing our shareholders with strong income returns.”
