(Alliance News) - Property firm Stenprop Ltd said Thursday it has completed the sale a property in Hamburg for EUR160 million as part of a focus on UK multi-let industrial assets.
The deal was first announced in mid-December.
The property being sold is Bleichenhof, for a total of EUR160.2 million. It is owned by Kommanditgesellschaft Bleichenhof Grundstuckverswaltung GmbH & Co KG, a German firm in which London-based Stenprop owns 95%.
As of September's end, some 45% of Stenprop's portfolio was made up of UK multi-let industrial assets, and following this sale that will rise to about 56%. The Bleichenhof property is Stenprop's largest, it said, making up 21% of the gross value of its portfolio.
Bleichenhof has a total lettable area of 19,500 square metres, generating a contractual rent of EUR7.0 million a year. It was valued at EUR151.7 million at the end of September. It is being bought by three German pension funds.
Chief Executive Paul Arenson said: "This is a significant sale for Stenprop, and another step in the transition towards becoming a 100% UK multi-let industrial business. This sale releases cash in excess of GBP46.7 million which is now available to be re-deployed in the acquisition of additional UK multi let industrial estates. Following completion of this sale, UK MLI estates now comprise approximately 57% of our total property portfolio."
Shares in Stenprop closed 0.4% higher in London on Thursday at 128.50 pence each. In Johannesburg, the shares ended down 0.2% at ZAR25.40 each.
By Paul McGowan; paulmcgowan@alliancenews.com
Copyright 2020 Alliance News Limited. All Rights Reserved.