Custodian REIT plc : Purchase of Property

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 Custodian REIT plc (CREI) 
Custodian REIT plc : Purchase of Property 
 
26-March-2018 / 07:00 GMT/BST 
Dissemination of a Regulatory Announcement that contains inside information 
according to REGULATION (EU) No 596/2014 (MAR), transmitted by EQS Group. 
The issuer is solely responsible for the content of this announcement. 
 
            26 March 2018 
 
      Custodian REIT plc 
 
      ("Custodian REIT" or the "Company") 
 
      Purchase of Property 
 
  Custodian REIT (LSE: CREI), the UK property investment company, is pleased 
            to announce a further property purchase. 
 
      The Company has acquired a 46,550 sq ft industrial unit on Team Valley 
 Trading Estate, Gateshead, the north east's leading mixed-use business park 
      at junction 68 of the A1, three miles from Newcastle upon Tyne. Nearby 
            occupiers include Booker, Royal Mail and Sainsbury's. 
 
The unit is let to Worthington Armstrong (UK) Limited on a lease expiring on 
 25 August 2026. Current passing rent is GBP279,400 per annum reflecting a net 
            initial yield1 of 6.73%. 
 
     The agreed purchase price of GBP3.9 million was funded from the Company's 
existing debt facilities, resulting in net gearing2 increasing to 21.6% loan 
            to value. 
 
 Commenting on the acquisition, Richard Shepherd-Cross, Managing Director of 
 Custodian Capital Limited (the Company's discretionary investment manager), 
            said: 
 
     "We are delighted to have secured this unit located on the north east's 
 prime industrial park, let to a market leading manufacturer. The tenant has 
 been in occupation for over 20 years, and carried out an expansion in 2016, 
            highlighting its ongoing commitment to the site." 
 
    1 Passing rent divided by purchase price plus assumed purchasers' costs. 
 
2 Gross borrowings less unrestricted cash divided by last published property 
            portfolio valuation. 
 
      -Ends- 
 
For further information, please contact: 
 
          Custodian Capital Limited 
Richard Shepherd-Cross / Nathan         Tel: [phone] 
Imlach / Ian Mattioli MBE 
                                    www.custodiancapital.com [1] 
 
Numis Securities Limited 
Hugh Jonathan/Nathan Brown              Tel: [phone] 
                                               www.numiscorp.com 
 
Camarco 
Ed Gascoigne-Pees                       Tel: [phone] 
                                               www.camarco.co.uk 
 
            Notes to Editors 
 
Custodian REIT plc is a UK real estate investment trust, which listed on the 
    main market of the London Stock Exchange on 26 March 2014. Its portfolio 
    comprises properties predominantly let to institutional grade tenants on 
 long leases throughout the UK and is characterised by small lot sizes, with 
         individual property values of less than GBP10 million at acquisition. 
 
        The Company offers investors the opportunity to access a diversified 
      portfolio of UK commercial real estate through a closed-ended fund. By 
       targeting smaller lot size properties, the Company intends to provide 
 investors with an attractive level of income with the potential for capital 
            growth. 
 
    Custodian Capital Limited is the discretionary investment manager of the 
            Company. 
 
            For more information visit www.custodianreit.com [2] and 
            www.custodiancapital.com [1]. 
 
ISIN:           GB00BJFLFT45 
Category Code:  MSCM 
TIDM:           CREI 
OAM Categories: 3.1. Additional regulated information required to be 
                disclosed under the laws of a Member State 
Sequence No.:   5329 
 
End of Announcement EQS News Service 
 
668329 26-March-2018 
 
 
1: http://public-cockpit.eqs.com/cgi-bin/fncls.ssp?fn=redirect&url=c24dec6d0ea6c746569ddd52de0eca8d&application_id=668329&site_id=vwd_london&application_name=news 
2: http://public-cockpit.eqs.com/cgi-bin/fncls.ssp?fn=redirect&url=44eae66ce326b2005a19503bbab5faed&application_id=668329&site_id=vwd_london&application_name=news 
 

(END) Dow Jones Newswires

March 26, 2018 02:02 ET (06:02 GMT)