(Alliance News) - Sirius Real Estate Ltd on Monday announced it had completed the acquisition of new business parks in Germany for EUR26.0 million.
The German property investor said the acquisitions were comprised of two business parks bought in September in Norderstedt and Hamburg for EUR9.1 million.
The third acquisition was in Nuremberg for EUR13.7 million, with a new purchase for EUR3.2 million immediately adjacent to its existing Mannheim II business park, which it bought in October 2018. The property is currently 93% occupied by a total of seven tenants.
Sirius said its three new German business parks have an EPRA net initial yield of 7.2% and generate in total EUR1.9 million of annualised net operating income.
Chief Executive Andrew Coombs said: "These business parks are immediately accretive to earnings and signal a return to acquisitive growth for the company after holding back whilst assessing the impact of Covid-19 on the marketplace. Our latest acquisition in Mannheim's Kafertal commercial area provides significant operational synergies and we believe there is potential to unlock value when we consider the asset alongside our existing adjacent business park, Mannheim II."
Shares in Sirius Real Estate were up 3.8% at 96.96 pence in London on Monday, while its Johannesburg shares were down 1.0% at ZAR19.10.
By Zoe Wickens; zoewickens@alliancenews.com
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