Sirius sells Tyseley business park for £6.7m

LSE (GBP) Share Code: SRE

Sirius Real Estate Limited

("Sirius Real Estate", "Sirius", the "Company" or the "Group")

Sirius sells Tyseley business park for £6.7m at a 20% premium to book value

Sirius Real Estate, the leading owner and operator of branded business and industrial parks providing conventional space and flexible workspace in Germany and the U.K., announces that it has disposed of its BizSpace Tyseley Business Park in Birmingham for £6.7m, reflecting a 20% premium to book value (September 2024: £5.6m).

Sirius acquired the asset as part of the BizSpace acquisition in November 2021 for £5.1m and successfully increased the rent roll of the site by 30%, through the capture of under-rent, which contributed to a 31% increase in average rate per sq ft from £7.39 to £9.69.

The 134,000 sq ft business park comprises 125,000 sq ft of industrial space and 9,000 sq ft by way of an office building. Significant future capex investment was required in order to maintain the buildings, which the Company felt could be better spent elsewhere in the portfolio.

Andrew Coombs, Chief Executive Officer of Sirius Real Estate, commented: "The sale of this asset at a substantial 20% premium to book value highlights our success in improving the rental tone since Sirius acquired BizSpace in November 2021. This transaction demonstrates our platform's ability to attract higher-paying quality occupiers and effectively execute strategically timed deals, enabling efficient capital recycling into our acquisition pipeline."