LXi REIT offloads St Albans retail park for £31m
9th June 2023 | Jack Oliver
LXi REIT has completed the sale of a St Albans retail park to an unnamed UK pension fund for £31m.
Griffiths Retail Park is currently let to B&Q, Aldi, and Costa Coffee, and has a weighted average unexpired lease term of 18 years.
The real estate investment trust acquired the property in 2019 for £24m, meaning the sale produced a net initial yield of 4.7%.
LXi REIT said the sale was in line with the book value as of March 31, and generates an “attractive” 11% annual rate of return.
The REIT expects the proceeds from the sale will be used to reduce leverage and may be invested in its higher yielding property pipeline.