RDI completes on sale of German retail portfolio for €205 million
Further to the announcement on 6 November 2017 regarding the exchange of contracts with PATRIZIA Immobilien AG for the sale of the Leopard Portfolio, comprising 66 German retail properties (the “Sale”), RDI, the FTSE 250 income focused UK-REIT, is pleased to confirm that the Sale successfully completed on 29 December 2017.
The consideration reflects a purchase price of €205.0 million, and a 10.8% premium to book value. The Company continued to benefit from the income generated by the portfolio until completion on 29 December 2017 and intends to reinvest the disposal proceeds into new investments at lower leverage. This is in line with RDI’s stated strategy of enhancing the quality of the portfolio and its growth prospects. Further announcements will be made by the Company, as appropriate, in due course.
Mike Watters, CEO of RDI commented:
“We remain firm in our commitment to ensuring that the RDI portfolio is in the very best shape to deliver reliable and superior income returns, underpinned by a strong balance sheet and capital structure. While Germany remains a strategically important market for us, this opportunistic disposal not only allows us to benefit from a highly attractive premium, but also to further reduce leverage and recycle proceeds into identified income enhancing investment opportunities.”