CLS Holdings has unconditionally exchanged contracts to buy an office block in Staines, Surrey, for £19m excluding costs.
Completion for the property, called Twenty Kingston Road, is planned for 3 February.
The deal represents a net initial yield of 5.3%; if fully let, this will increase to 7%.
It is currently let to four tenants with a WAULT of 5.4 years to breaks and is 23% vacant.
The news comes as CLS completes the separate sale of Quayside Lodge in Fulham, SW6, (pictured above) to an unnamed private developer, for £19m.
CLS previously achieved planning permission in 2018 for a 10-storey residential development at the location.
Fredrik Widlund, chief executive of CLS, said: “We continue to see a range of acquisition opportunities in the UK that are highly suited to our portfolio. Twenty Kingston Road offers strong reversionary potential with a yield of 7% once fully let and the acquisition is in line with our opportunistic approach.
“We will also continue to recycle capital, when opportunities like Quayside arise, into new investments in the UK, Germany and France.”
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