LONDON, UK: RDI REIT, the income focused UK Real Estate Investment Trust (UK-REIT), has exchanged contracts for the sale of West Orchards, Coventry for £4.85 million, a news release said.
The sale is expected to have a nominal impact on the Company’s net asset value of approximately £1.9 million, reflecting the contribution of West Orchards to the Company’s EPRA NAV as at 31 August 2020.
The sale leaves just one remaining retail asset in the UK, St. George’s shopping centre in Harrow, Greater London.
The Company also continues to make further progress in Germany, where it recently completed on the disposal of a small retail asset in Molln for €3.8 million (31 August 2020: €4.2m).
These disposals provide further progress towards achieving a full exit from the retail sector during 2021, whilst also contributing to the further strengthening of the Company’s balance sheet.
Stephen Oakenfull, CEO of RDI commented: “West Orchards, Coventry has faced a number of significant challenges including its exposure to Debenhams as well as the general impact from lock down restrictions due to COVID-19. As part of our ongoing strategy, our strict discipline in terms of capital allocation and decisive action around selling legacy assets continues to enhance the quality of the portfolio with a full exit from retail now in sight.”
RDI is an income focused UK Real Estate Investment Trust (UK-REIT) with a diversified portfolio invested principally in the UK. The investment approach is driven by an in depth understanding of occupational demand including the impact of technology, transport and infrastructure investment.
The portfolio has been repositioned in recent years to increase its weighting to London and the South East and to provide greater exposure to our leading hotel and serviced office operating platforms.
RDI is committed to delivering attractive income led total returns across the real estate cycle. The current strategic objectives of a lower leverage capital structure and more focused allocation of capital are targeted at delivering an industry leading and sustainable income return.
RDI holds a primary listing on the London Stock Exchange and a secondary listing on the JSE. The Company is included within the EPRA, GPR, JSE All Property and JSE Tradeable Property indices. www.rdireit.com