CLS Holdings completes Dusseldorf acquisition

The FTSE 250 firm had initially announced the acquisition plan on 11 July.

It said the property generates net rental income of €3.1m, reflecting a net initial yield of 7.1%, and has been financed with a local bank at an all-in cost fixed for seven years at 0.92%.

The building benefits from a high occupancy rate and presents significant scope for future rental uplifts and other asset management opportunities, the CLS board explained..

“We are delighted to have acquired this investment, which adds significantly to the group's cash flow and provides strong asset management opportunities in the short to medium-term,” said CLS CEO Fredrik Widlund.

“The transaction underlines our ongoing confidence in the German property market and, as a long-term investor, we believe our broader European portfolio, with its diversified tenant base, will continue to provide a strong and stable income stream.”