Acquisition of Pure Gym unit in Finchley
Updated : 07:04
26 February 2019
U and I Group PLC
U+I acquires Pure Gym unit in Finchley for investment portfolio
U+I (LSE:UAI), the specialist regeneration developer and investor, announces the acquisition of the Pure Gym unit in Finchley, in line with its acquisitions strategy.
This leasehold leisure asset in North London has been acquired off-market, at a cost of £4.75 million, using some of the £9.0 million surplus in the Aviva facility, following the recent strategic disposal of part of The Killingworth Centre, announced on 29 January 2019. It offers a net initial yield of 5.85%, which is expected to rise to over 7.0% at rent review in 2021.
Let to Pure Gym, the property meets U+I's investment criteria as an income producing asset with longer-term regeneration potential.
Matthew Weiner, CEO of U+I, commented:
"The acquisition of this Pure Gym unit marks further progress in achieving our £50 million acquisitions target for FY19. Located in one of our core geographies, having traded well for many years and with a long unexpired lease term, it has the potential to deliver double digit returns. This acquisition further strengthens our investment portfolio and will support our longer-term target of delivering an average 10% total return."
ENDS
For further information, please contact:
U+I
Nicola Krafft
+44 (0) 20 7828 4777
Camarco (Financial PR Adviser)
Geoffrey Pelham-Lane / Hazel Stevenson / Tom Huddart
+44 (0) 20 3757 4985 / 4989 / 4996
About U+I
U+I is a specialist regeneration developer and investor.
With a c.£9.5 billion portfolio of complex, mixed-use, community-focused regeneration projects including a £145.7 million investment portfolio, we are unlocking urban sites bristling with potential in the London City Region (within one hour's commute from Central London), Manchester and Dublin. We exist to create long-term socio-economic benefit for the communities in which we work, delivering sustainable returns to our shareholders.
To find out more, visit www.uandiplc.com or follow us @uandiplc
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