Acquires EU24.4m building near Munich, Germany

RNS Number : 3024M

CLS Holdings PLC

06 May 2015

 



CLS Holdings plc

("CLS", the "Company", the "Group")

CLS Holdings plc announces acquisition of

€24.4 million office building near Munich, Germany

CLS Holdings plc announces that it has unconditionally exchanged contracts to acquire a fully-let office building near Munich, Germany for €24.4 million. The scheme is let to eleven tenants and it generates a rental income of €2.0 million, equating to a net initial yield of 7.9%.

Germany is one of CLS Holdings's core markets and it accounts for approximately 17% of the Group's total portfolio. CLS Holdings's investment strategy has long been characterised by a willingness to be opportunistic and this acquisition sees the Company drawing on its strong local market knowledge to secure a site in an established business district near Munich.   

The scheme is located in the municipality of Unterfoehring - approximately 8 km northeast of Munich's city centre - and provides 14,630 sqm of high-quality offices and 252 car parking spaces. It is currently 100% let with notable tenants including Sky Deutschland, Kabel Deutschland, and the Bavarian Academy of Television. Completion is due in mid-June.

Sten Mortstedt, Executive Chairman of CLS Holdings plc, commented:

"I am delighted that we have secured this building in Unterfoehring, Munich, which provides an excellent long-term income stream from blue-chip tenants. We continue to see potential in Germany and this acquisition will further enhance our offering in that market."

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For further information, please contact:

CLS Holdings plc                                                         [phone]

www.clsholdings.com

Sten Mortstedt, Executive Chairman

Henry Klotz, Executive Vice Chairman

Fredrik Widlund, Chief Executive Officer

John Whiteley, Chief Financial Officer

Liberum Capital Limited                                             [phone]

Tom Fyson

Charles Stanley Securities                                          [phone]

Mark Taylor                                                                  

Kinmont Limited                                                          [phone]

Jonathan Gray

Smithfield Consultants (Financial PR)                       [phone]

Alex Simmons

 

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