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LXI sells two assets for ?2.2m after unsolicited approach
4th May 2020 07:28
(Sharecast News) - LXI said on Monday that, following an unsolicited approach, it has sold two social housing assets for an aggregate price of ?2.2 million to a specialist fund.
The FTSE 250 real estate investment trust said that reflected a net exit yield of 5.15%, comparing favourably to the net acquisition yield of 6.0% that it paid in 2017.
It also represented a 15% uplift on the purchase price, and a 3% premium to the latest book value, and generated an "attractive" geared internal rate of return for the company of over 15% per annum.
"The company intends to redeploy the proceeds of the sale into its accretive asset pipeline once the impact of Covid-19 has become clearer," the board said in its statement.
The FTSE 250 real estate investment trust said that reflected a net exit yield of 5.15%, comparing favourably to the net acquisition yield of 6.0% that it paid in 2017.
It also represented a 15% uplift on the purchase price, and a 3% premium to the latest book value, and generated an "attractive" geared internal rate of return for the company of over 15% per annum.
"The company intends to redeploy the proceeds of the sale into its accretive asset pipeline once the impact of Covid-19 has become clearer," the board said in its statement.