Last checked at 24 Jul 2020 07:00
PRESS RELEASE
Release date: 24 July 2020
Embargoed until: 07:00
CLS Holdings plc ("CLS") announces
sale of Albert-Einstein-Ring 17-21, Hamburg for €36.45 million
CLS announces that it has unconditionally exchanged contracts to sell Albert-Einstein-Ring 17-21 in Hamburg for €36.45 million excluding costs, with completion expected on 30 September 2020.
Albert-Einstein-Ring 17-21 was acquired by CLS in 2017 as part of the Metropolis portfolio and consists of 13,419 sqm (144,441 sq. ft) of offices located in the Bahrenfeld area of Hamburg. Although the property offers long-term potential as the area and public transport is improved over the coming decade, the property is currently experiencing higher levels of vacancy and no longer meets our portfolio criteria. The sale, at a price 38% above the 31 December 2019 valuation reflecting a net initial yield of 3.6%, allows CLS to crystallise the future potential of the building and area today so that we can redeploy funds into more immediate opportunities.
Commenting on the sale, Fredrik Widlund, Chief Executive Officer of CLS, said:
"Whilst Hamburg remains one of our key markets, this disposal captures value for our investors today and releases capital that can be recycled earlier into opportunities with a better income profile. We continue to see exciting opportunities in our key markets and strongly believe in the resilience and attraction of well-located, affordable offices in non-prime locations."
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For further information, please contact:
CLS Holdings plc
(LEI: 213800A357TKB2TD9U78)
www.clsholdings.com
Fredrik Widlund, Chief Executive Officer
Andrew Kirkman, Chief Financial Officer
+44 (0)20 7582 7766
Liberum Capital Limited
Richard Crawley
Jamie Richards
+44 (0)20 3100 2222
Panmure Gordon
Hugh Rich
+44 (0)20 7886 2733
Elm Square Advisers Limited
Jonathan Gray
+44 (0)20 7823 3695
Smithfield Consultants (Financial PR)Alex Simmons
Rob Yates
+44 (0)20 3047 2546