Ediston Property Investment Company plc (LSE: EPIC) announces that it has acquired three leisure properties for £10.00 million (net of acquisition costs), reflecting a net initial yield of 8.60%. The acquisition was funded from existing cash resources.
The properties comprise two units in Liverpool and Hartlepool, which are let to Mecca Bingo, and a third unit in Telford, part of the Southwater Square leisure development, which is let to Rank Group Gaming Division. All three leases expire in September 2022, giving an unexpired term of seven years. The passing rent of the properties is £910,085 per annum.
Calum Bruce, Director of Investment at Ediston Properties Limited, the Company’s Investment Adviser, said: “The purchase provides the company with a robust income stream at an attractive initial yield but with asset management angles to be exploited”.