Elite UK REIT’s trustee, Perpetual (Asia) Limited, has sold Crown Buildings, Caerphilly at Claude Road, Caerphilly, for GBP710,000 ($1.2 million). The sale was made at an 18% premium, according to a filing with the bourse on March 3.
The property, which was vacant at the time of sale, was valued at GBP600,000 at the end of 2024 through an independent valuation conducted by CBRE. At the end of 2023, the property was valued at GBP530,000.
Crown Buildings, Caerphilly is located in Wales and has a gross floor area of 20,712 sq ft, according to Elite UK REIT’s website.
The net proceeds from the sale will be used to repay Elite UK REIT’s outstanding borrowings. The company’s leverage ratio decreased from 50.0% at the end of 2023 to 43.4% at the end of 2024, following a successful GBP28 million preferential offering in January of that year. Similarly, its net gearing ratio also declined from 47.5% at the end of 2023 to 42.5% at the end of 2024.
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There are currently no debts maturing in 2025 and 2026, and refinancing will not be necessary until 2027.
Overall, Elite UK REIT’s sale of Crown Buildings, Caerphilly at a premium marks a successful transaction that strengthens the company’s financial position and sets a positive outlook for its future investments.