The disposal forms part of the company’s strategy of reducing exposure to secondary high street retail assets
Custodian REIT PLC (LSE:CREI) said it has sold a property from its portfolio, a high street retail unit in Norwich for £1.305mln.
The UK property investment company, which was originally acquired as part of the IPO portfolio in 2014, said the sale price was in line with the most recent valuation.
It said the disposal forms part of its strategy of reducing exposure to secondary high street retail assets.
Richard Shepherd-Cross, managing director of external fund manager Custodian Capital, said: “While this asset has provided secure income to date, we believe it is no longer aligned with the strategy of the company as we anticipate future rental decline and increased vacancy in this micro-location. We expect to invest the sale proceeds in higher quality assets with greater prospects for income and capital growth, better supporting the board’s objective of increasing dividends in a sustainable way.”
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