ELITE UK Real Estate Investment Trust (Reit) has entered a contract to divest Hilden House, an office building in Warrington, England, for a sale consideration of £3.3 million (S$5.6 million).
This represents a six per cent premium above the property’s valuation of £3.1 billion as at Jun 30, 2024, based on an independent valuation conducted by property player CBRE.
The Reit’s manager said on Wednesday (Nov 27) that the sale contract will be subject to conditions precedent.
Net proceeds from the sale of Hilden House, which is currently vacant, will be used to repay debt.
The divestment is not expected to have material impact on the Reit’s net asset value and distribution per unit for the financial year ending Dec 31, 2024, said the Reit’s manager.
Units of Elite UK Reit closed on Tuesday 1.8 per cent or £0.005 higher at £0.29.
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