Riverside Capital, the property portfolio management and investment business has completed its seventh off-market acquisition for the Channel Islands Property Fund.
Carey House is a 26,472 sq. ft. Grade A property in St. Peter Port, Guernsey and is fully let to Carey Olsen, a leading offshore law firm on a lease with 14 years unexpired with no breaks. The passing rent is £1,143,770 and the purchase price of £16,750,000 reflects a net initial yield of 6.7%.
The acquisition was financed by way of the placing of 14,000,000 shares in the company together with a five year loan facility from Royal Bank of Scotland International of £3,600,000, with a loan to value of 21.5%.
As a result of the recent transaction the Gross Asset Value of the 260,000 sq. ft. portfolio has risen to £140,000,000 with a loan to value ratio of 38.9%. The total rent roll is £9,652,796 from 17 tenants with a average weighted unexpired lease term of 15.49 years.
Andy Taylor of Riverside Capital said ‘Working alongside the team at Ravenscroft Limited we are delighted once again to have acquired a high quality property for CIPF in an increasingly competitive marketplace. With a diverse tenant mix and a number of successful executed asset management initiatives together with three yearly upwards only rent reviews the income has grown consistently year on year since 2010 and the company has delivered shareholders exactly what it promised’.