Sirius Real Estate disposes of Maintal industrial park
Sirius Real Estate disposes of Maintal industrial park

Sirius Real Estate disposes of Maintal industrial park

RE+D magazine

Sirius Real Estate Limited, the leading owner and operator of branded business and industrial parks providing conventional space and flexible workspace in Germany and the U.K., has notarised the disposal of an industrial park in Maintal, in Germany’s southwest Hesse region, for €40.1 million, representing a net initial yield of 5.7%.

The disposal was achieved at approximately 6% above the last reported book value. The Maintal industrial park offered Sirius little potential for further value creation, however its strategic location made it attractive to the purchaser, a trend we have witnessed in past disposals of mature assets.

The Company also announces that through its BizSpace subsidiary, it has exchanged and completed on the acquisition of a £33.5 million portfolio of three assets located in North London, from a closed ended fund. The assets are based in busy suburban areas, with two in the Borough of Islington and one in the Borough of Camden. 

The three assets have a combined area of 103,962 sq ft of primarily multi-let studio workspaces and occupancy rate of just under 70%, which the Group views as providing significant potential for growth. 

The properties are let on flexible leases and have a WAULT of 3.1 years. The buildings are well maintained and have over 70 customers, the 10 largest of whom occupy over 50% of the occupied area.  The purchase price represents a NIY of 7.3% which through active asset management initiatives should generate a running yield in excess of 10% at maturity.