CNC Properties has sold the income stream on Cecil Court, WC2, for £3m to repay debt and pay for the refurbishment of Waterlinks House in Birmingham.
A merchant bank bought the income from CNC for the three years and four months remaining on the lease at 91-95 St Martin’s Lane and 26-37 St Martin’s Court.
The residential and retail scheme generates an income of £1.222m pa of which CNC will retain around £134,000.
CNC will use £2m from the sale for the repayment of debt and £1m in the refurbishment of Waterlinks which was acquired for £1.6m. It estimates the eventual income of a fully-let Waterlinks at £820,000.
CNC can offset any capital gain on the sale against agreed capital losses brought forward from previous years.
EGi News 25/02/97
