Tamar European Industrial Fund announces that it has signed an unconditional agreement for the sale of an asset in Drobak, Norway, for a net consideration of approx. 6.7 million (NOK 51 million) after an allowance for latent tax. The sale price reflects a net initial yield of 7.00% and is 2.5% above the latest Fund valuation as at June 2011.
The 5,900-m² warehouse is located 35 km south of Oslo and is currently fully let to a single tenant who is also the purchaser of the property.
The sale is due to complete in mid-October 2011.
Rob Brook, Managing Director of Tamar Financial Services Ltd, Investment Manager to TEIF, commented: "This disposal represents a successful start to the Nordic sales program, achieving a sale price at a premium to valuation after an allowance for latent tax.
"Having gained the approval of shareholders for this strategy at our AGM in August, we have quickly commenced the marketing of other mature assets within the Nordic portfolio and look forward to updating shareholders on progress in due course."