CLS has acquired Columbia Bracknell, a multi-let office property in Bracknell, Berkshire for €16.6m (£14.7m) excluding costs.
The property comprises 54,291 ft² (5,043 m²) of office space which, with an occupancy rate of 79%, currently generates an annual rental income of €0.99m (£0.88m), and a net initial yield of 5.6%. Once fully let, it is expected to produce €1.32m (£1.17m) per annum, reflecting a net initial yield of 7.5%.
Columbia Bracknell has been extensively refurbished throughout and now has a diversified tenant base, providing a stable income from 10 tenants and a weighted average unexpired lease term of 3.1 years. It is well-located between the main train station and the town centre, which has recently undergone a €271m (£240m) regeneration. The transaction is financed from existing CLS cash resources.
Fredrik Widlund, Chief Executive of CLS, commented: “The acquisition of Columbia Bracknell is consistent with our strategy of investing in multi-let, high-quality offices in and around major cities across our three core markets: the UK, Germany, and France. This acquisition complements our existing portfolio and offers several opportunities for us to add value through active management and to significantly increase the occupancy rate.”