To:
Company Announcements
Date:
10 December 2021
Company:
Standard Life Investments Property Income Trust Limited
LEI:
549300HHFBWZRKC7RW84
Purchases
Standard Life Investments Property Income Trust (“SLIPIT or the
Company”) has completed two purchases totalling £22.79m, financed
out of existing cash reserves.
The first is a forward funding in St Helens, where SLIPIT has
acquired the site and will fund the development of an industrial
unit with a total commitment of £15.05m. The premises are
pre-let to St Helens Borough Council for a 15 year term with
5-yearly index-linked rent reviews generating a net initial yield
of 4.25%. The unit will be used as a research and
development facility, focussing on improving the environmental
impact of glass manufacture.
The second acquisition is of an existing industrial unit
in Washington let to Griffith
Textile Machines Ltd until September 2035. The purchase price
of £7.735m reflects a net initial yield of 5.75%.
Mark Blyth, Deputy Fund Manager
of SLIPIT commented: “We are delighted to have completed on both of
these purchases in quick succession. The St Helens funding
offers SLIPIT 15 year, index-linked, Government income from an
asset with strong ESG credentials and providing a good
risk-adjusted income return.
The Washington acquisition is
an example of SLIPIT buying into an asset with not only a strong
income return, but also the potential to drive further value.
Included with the building is a 3.5 acre development site,
which not only offers the opportunity to grow the income through
expansion of the existing occupier or development, but also
provides scope to implement ESG initiatives.”
All enquiries to:
Jason Baggaley - Fund
Manager
Tel: 0131 245 2833
E-mail:
jason.baggaley@aberdeenstandard.com
Mark Blyth - Deputy Fund Manager
Tel: 07703 695 490
E-mail: mark.blyth@aberdeenstandard.com