Custodian Property Income REIT has sold two office buildings in Cheadle for an aggregate price of £6.9m.
The REIT has sold 5500 Lakeside, which is 66% let, for £4m to an unnamed purchaser and it has sold the fully let Wienerberger House (pictured) in Cheadle Royal Business Park to Northern Group.
Richard Shepherd-Cross, managing director of Custodian Capital, said: “Whilst we have received a healthy level of income across both properties, due to market sentiment in the out-of-town office sector, we believe that there is limited scope for future rental growth and we felt that now is the right time to sell.
“The transactions once again prove our ability to make sales at or above book valuation and we expect to use the proceeds to repay variable rate debt, aligning with our strategy of providing shareholders with strong income returns.”
Paul Dobbs, COO of Northern Group, added: “Northern Group is pleased to announce the successful acquisition of Wienerberger House, marking further, significant growth for our business as we branch into Stockport and Cheshire. This prime location has exceptional connectivity and boasts a strategic position in Greater Manchester. We are lucky to inherit a great tenant in Wienerberger and look forward to continuing with business as usual at this new location.”
