Regional REIT, the UK regional office and industrial property focused real estate investment trust, has acquired eight assets in the UK regions from M7 Real Estate for £31.4 mln (€35 mln).
'While the portfolio has been under our ownership for a relatively short time, following the completion of a number of lettings and lease renewals and having received an off-market approach from Regional REIT and the team at London & Scottish Investments Limited, who we know well and have worked with before, we are pleased to be able to crystallise this investment ahead of plan,' said John Murnaghan, Head of UK Real Estate at M7 Real Estate.
Divested by the M7 REIP VI fund, the portfolio consists of seven regional office assets and one mixed-use asset, located in Lincoln, Ipswich, Stockton-on-Tees, Wakefield, Deeside, Clevedon, High Wycombe and Hull.
The portfolio has a total area of 277,280 ft2 (25,760 m2) across 47 lettable units, which are 92% let to 24 tenants, delivering an annual net income of circa £2.81 mln, reflecting a net initial yield of 8.66%.
