29 Jan 2019 07:00
29 January 2019
U and I Group PLC
U+I makes planned disposal and acquisition in line with investment portfolio strategy
U+I (LSE:UAI), the specialist regeneration developer and investor, announces the disposal of part of The Killingworth Centre in Newcastle (for £7.5 million), and the acquisition of the Waterglade Retail Park in Clacton-On-Sea.
The Killingworth Centre was identified as a strategic disposal to bring the investment portfolio further in line with the company's geographic focus on three regions (London City Region, Manchester and Dublin).
Waterglade Retail Park has been acquired for £11.3 million in an off-market transaction. Occupied by four tenants (B&M, Halfords, Iceland and Carpetright), all well-suited to the local catchment, the retail investment generates an initial yield of c.9%, with opportunity to deliver the double digit returns the Group's business strategy targets through intensive asset management and re-gearing leases. It will contribute towards the £50 million of investment acquisitions targeted for this financial year. These transactions leave c.£9.0 million cash surplus in the Aviva facility to reinvest and we continue to work on new acquisitions.
Matthew Weiner, CEO of U+I, commented:
"We are pleased with the continued recycling of our investment portfolio, in line with our stated strategy. The Clacton acquisition is well-priced, provides a relevant offer to the catchment, and further opportunity to re-gear and reposition. It will support our longer-term target of delivering 10% annual total returns."
ENDS
For further information, please contact:
U+I
Nicola Krafft
+44 (0) 20 7828 4777
ir@uandiplc.com
Camarco (Financial PR Adviser)
Geoffrey Pelham-Lane / Hazel Stevenson / Tom Huddart
+44 (0) 20 3757 4985 / 4989 / 4996
uandi@camarco.co.uk
About U+I
U+I is a specialist regeneration developer and investor.
With a c.£9.5 billion portfolio of complex, mixed-use, community-focused regeneration projects including a £145.7 million investment portfolio, we are unlocking urban sites bristling with potential in the London City Region (within one hour's commute from Central London), Manchester and Dublin. We exist to create long-term socio-economic benefit for the communities in which we work, delivering sustainable returns to our shareholders.
To find out more, visit www.uandiplc.com or follow us @uandiplc