Sirius Real Estate acquires Mönchengladbach business park in Germany for R337.5 million

SIRIUS Real Estate, the London and JSE-listed owner of branded business and industrial parks in Germany and the UK, has acquired the Mönchengladbach business park for €17.2 million (R337.5m) and disposed of Bizspace Cardiff for £5.1m (R99.1m).

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The acquisition of the multi-tenanted business park in Mönchengladbach represents a net initial yield (NIY) and follows the recent successful disposal of Sirius’s Bizspace Tyszeley business park at 5.6% premium to book value. The acquisition of Mönchengladbach allows us to take ownership of an asset with enormous potential,” Sirius CEO Andrew Coombs said in a JSE notice.

“It will provide day-one income and a longer-term opportunity to attract occupiersto the business park through asset management, with active operational focus from a close proximity to our portfolio in the region.”

Sirius has also secured consents for the sale of Bizspace Cardiff site for £5.08m, representing a 10% premium to book value. This is the first disposal in the UK this financial year, with these sales seeing an average premium of 6.5% to book value, Coombs said.