Lend Lease Global Properties SICAF, the Luxembourg-based opportunistic investment company advised by Lend Lease Global Real Estate Advisors SA, has announced the acquisition of a diversified portfolio of properties from REIT Asset Management for Â£ 124.2 mln.
The portfolio of 16 properties is a mix of both office and industrial properties, with the assets located across the UK. The combined area of the assets is approximately 2.3 million square feet (217,800 square metres), of which approximately 1.9 million square feet (176,500 square metres) is in the industrial/distribution sector.
The portfolio was acquired in an equity and management joint venture with Frogmore Property Company Limited. Frogmore will be acting as strategic property manager, assisting Lend Lease Global Properties in co-ordinating the management, refurbishment, rent review and leasing strategies for the portfolio.
James Quille, Chairman of Lend Lease Global Properties, said 'This portfolio follows on from our recent European acquisitions and adds a high-income component to our existing portfolio. The cash on equity return provides a good balance to the redevelopment activities in other areas within the portfolio, and through our joint venture with Frogmore, we are looking to reposition the properties through active asset management in order to maximise the value of the assets.'
FrogmoreÂ's Paul White said: 'We are very excited about this joint venture, and the opportunity of working with Lend Lease Global Properties, on what we hope will be the platform for further business opportunities.'
Lend Lease Global Properties is expected to complete its investment phase later this year. The Fund currently has real estate investments in the UK, Germany, Spain, Hong Kong, Japan, and Korea. This investment brings the gross assets of Lend Lease Global Properties to over US$1billion.
(source: Lend Lease)