REG-Custodian REIT plc Custodian REIT plc : Purchase of Property

Custodian Property Income ReitAnnouncement

14/04/2022 07:15

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   Custodian REIT plc (CREI)

   14-Apr-2022 / 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.

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                                                                14 April 2022

    

                                        

                               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 property purchase.

    

   The  Company  has  acquired  a   86,922  sq  ft  industrial  facility   in
   Grangemouth, adjacent to the M9.  The unit is let Thornbridge Sawmills for
   a further 18 years.

    

   The unit has a  passing rent of  £388,261 per annum,  with a reversion  in
   September 2023,  linked  to  RPI,  which is  expected  to  reflect  a  net
   reversionary yield1 of 5.5%.

    

   The agreed purchase price of £7.49  million was funded from the  Company's
   existing debt facilities,  resulting in net  gearing2 increasing to  20.9%
   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 property  which  benefits  from
   excellent links  to both  Glasgow and  Edinburgh but  importantly for  the
   tenant, which imports timber, is in close proximity to Scotland's  largest
   container port.  The  relatively low  risk, long  term lease  to a  strong
   tenant is  further enhanced  by rent  reviews linked  to RPI,  capped  and
   collared at a maximum of 3% and  minimum 1% per annum, providing a  degree
   of inflation protection.  The first rent  review is due in September  2023
   and five-yearly thereafter."

    

   1 Reversionary rent  divided by  purchase price  plus assumed  purchasers'
   costs.

   2 Gross  borrowings  less  cash  (excluding  tenant  rental  deposits  and
   retentions) divided by last published property portfolio valuation.

    

                                     -Ends-

    

   For further information, please contact:

    

   Custodian Capital Limited                                                 
   Richard Shepherd-Cross / Ed Moore / Ian           Tel: +44 (0)116 240 8740
   Mattioli MBE
                                                   1 www.custodiancapital.com

    

   Numis Securities Limited                           
   Hugh Jonathan/Nathan Brown Tel: +44 (0)20 7260 1000
                                     www.numiscorp.com

    

   Camarco                                   
   Ed Gascoigne-Pees Tel: +44 (0)20 3757 4984
                            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 principally  characterised
   by small  lot sizes,  with individual  property values  of less  than  £10
   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      2 www.custodianreit.com     and
    3 www.custodiancapital.com.

    

    

    

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   ISIN:          GB00BJFLFT45
   Category Code: MSCM
   TIDM:          CREI
   LEI Code:      2138001BOD1J5XK1CX76
   Sequence No.:  155540
   EQS News ID:   1327723


    
   End of Announcement EQS News Service

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