Tamar European Industrial Fund has sold two assets in Belgium to a Belgian investor for £12.4m.
The deal reflects a net initial yield of 9% at a price that represents a 2.9% discount to the latest fund valuation on a gross basis.
The larger of the two assets is located in Zaventem, close to Brussels airport, and comprises a 200,000 sq ft light industrial and office building let to 14 tenants with an occupancy rate of 83% and a weighted average period until next lease break of just over five years.
The second asset is located in Ternat, to the west of Brussels, just outside the ring road, and comprises a 150,000 sq ft warehouse and office building.
It is fully let to two tenants: ALD Automotive, on a lease with a first break in December 2017; and Spar Retail, which occupies on a six-month rolling lease.
Rob Brook, managing director of Patrizia Financial Services, investment manager to TEIF, said: “We have taken advantage of the increasing liquidity in the secondary markets to dispose of these two assets, which represented 65% of the Fund’s Belgian portfolio by valuation.
“We are making further progress in delivering on our asset management business plans on the remainder of the Belgian assets, and will provide further detail to shareholders as appropriate in due course.”
TEIF was represented by JLL.
bridget.oconnell@estatesgazette.com
