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

Custodian Property Income ReitAnnouncement

23/06/2022 07:15

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   Custodian REIT plc (CREI)
   Custodian REIT plc : Purchase of Property

   23-Jun-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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                                                                 23 June 2022

    

                                        

                               Custodian REIT plc

                                        

                      (“Custodian REIT” or the “Company”)

                                        

                              Purchase of Property

    

   Custodian REIT (LSE: CREI), the UK property investment company focused  on
   smaller lot-sizes, is pleased to announce a further property purchase. 

    

   The Company  has  acquired  a  70,160 sq  ft  retail  park  in  Nottingham
   consisting of four units occupied  by Wickes, Matalan, Poundland and  KFC,
   with nearby retailers including Tesco, Morrisons, Lidl and McDonald’s.

    

   The units have a weighted average unexpired term to first break or  expiry
   of 9.0  years  with an  aggregate  passing  rent of  £994,050  per  annum,
   reflecting a net initial yield1 of 6.21%.

    

   The agreed purchase price of £15.0  million was funded from the  Company’s
   existing debt resources, moving net gearing2 to 22.7% loan to value.

    

   Commenting on the acquisition,  Richard Shepherd-Cross, Managing  Director
   of Custodian  Capital  Limited  (the  Company’s  discretionary  investment
   manager), said:

    

   “Well located retail  warehouses let  off low rents  are complementary  to
   online retailing and have remained  in demand during the restructuring  of
   the retail  market.  This  purchase,  which was  agreed off-market  at  an
   attractive net initial yield, offers long income from a very strong tenant
   line up with opportunities to enhance rents by developing a  drive-through
   restaurant and installing electric vehicle charging points.”

    

   1 Passing rent divided by valuation 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 / Ed Moore /               Tel: +44 (0)116 240 8740
   Ian Mattioli MBE
                                                   1 www.custodiancapital.com

    

   Numis Securities Limited                             
   Nathan Brown / Hugh Jonathan 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  characterised  by
   properties  with  individual   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 sub  £10  million lot  size,  regional 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: MSCH
   TIDM:          CREI
   LEI Code:      2138001BOD1J5XK1CX76
   Sequence No.:  170039
   EQS News ID:   1381603


    
   End of Announcement EQS News Service

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