AIM-listed Conygar Investment has exchanged contracts to acquire a portfolio of seven freehold and long leasehold buildings in the UK from administration for a total consideration of £44.6 mln (EUR 50 mln). The portfolio generates an annual rent of approximately £4.41 mln, representing a net initial yield of 9.9%.
AIM-listed Conygar Investment has exchanged contracts to acquire a portfolio of seven freehold and long leasehold buildings in the UK from administration for a total consideration of £44.6 mln (EUR 50 mln). The portfolio generates an annual rent of approximately £4.41 mln, representing a net initial yield of 9.9%.
The 52,000 m2 portfolio is fully let and key tenants include Hewlett Packard, Johnson Controls, Cadbury UK and Aker Solution.
Conygar said the properties offer significant active management and development potential. CEO Robert Ware added: 'This is an excellent opportunity for Conygar to add and realise significant value using our property management skills to restructure the portfolio. Negotiations included the vendor's bank and we were able to exchange within 10 working days. With this track record, we hope to do more similar deals.'
Property consultant Gerald Eve acted for Conygar, while Savills acted for the vendor.
