CLS Holdings sells London and France properties to re-invest in other assets

Property investment company CLS Holdings has sold two properties in London and France in order for it to unlock capital and reinvest in other high yield properties.

Chancel House in north London, which comprises 74,700 square feet of office space with 189 parking spaces, was sold to the Department of Communities and Local Government on behalf of the Education Funding Agency for £18.7m, 39% above its valuation at 31 December 2015, to provide educational services in Brent.

Around 56% of Chancel House is income-producing for Telereal Trillium, a property company, on behalf of the Department of Works and Pensions until March 2018 and, with 44% of the property empty, the sale price represents a net initial yield of 3.3%.

While Chorus, a 46,640 square feet office building in Antibes, France, was sold for €9.4m, 2.4% above its valuation.

Chief executive Fredrik Widlund said: "Chancel House and Chorus presented opportunities to realise immediate value and to refine our portfolio. Their sales are in line with our strategy and unlock capital that can be re-invested in higher yielding opportunities elsewhere."