Grainger is to sell its £140 mln (€197 mln) portfolio of German assets to refocus on its position as the largest listed residential landlord in the UK.

Grainger is to sell its £140 mln (€197 mln) portfolio of German assets to refocus on its position as the largest listed residential landlord in the UK.

Announcing the move on Thursday, Grainger said its wholly owned residential property assets in Germany 'are non-core to our UK focused strategy'. It has, therefore, appointed investment bank Lazard & Co to advise on selling the assets.

'This will enable the group to accelerate its strategic and financial focus on its UK residential activities to enhance shareholder value whilst taking advantage of the currently strong market for residential property in Germany,' Grainger said.

In March the company reported it had 2,814 managed, market-rent units, valued at £140 mln, in Germany. A joint venture between Grainger and US investor Heitman also owns a further 2,750 units, valued at £171 mln. Grainger's UK portfolio was valued at £840 mln.

'Our focus on accelerating the growth of our UK PRS business is going well, with recent acquisitions bringing our total managed PRS portfolio in the UK to over 3,400 units, and with a pipeline of over 2,000 units,' said Grainger CEO Andrew Cunningham. 'And last week we were pleased to achieve a significant refinancing package for our syndicated bank debt, reducing our cost of debt and extending maturities.'

See also, Grainger cuts cost of debt with new €824m facility

Grainger also announced that Helen Gordon, global head of real estate at banking giant RBS, will join the company as CEO designate in December, rather than January 2016 as previously announced. Her earlier arrival gives her more time to liaise with out-going CEO Andrew Cunningham who is stepping down in February next year.

Finance director Mark Greenwood is leaving the firm at the end of this year. Rob Wilkinson, CEO of AEW Europe, will also join the Grainger board as an independent non-executive director.