Property Acquisition

Wynnstay Properties PLC (AIM:WSP) is pleased to announce that it has exchanged contracts with two private investors for the acquisition of Units 3-7, Pembroke Avenue, Denny End Industrial Estate, Waterbeach, Cambridge, CB25 9QP ("the Property") for an aggregate cash consideration of approximately £2.77 million (the "Acquisition").

The Property is freehold and comprises a terrace of five light industrial warehouse units with an extensive front service yard forming part of an established industrial estate beside the A10 trunk road. Three units are let as warehouse space to a specialist manufacturing business, one to a national motor parts trade counter and the remaining unit is let on a long-leasehold interest. The total rental income of £183,100 per annum is secured on leases with a weighted average unexpired lease term of 7 years and provides a net initial yield of 6.2%. This is anticipated to rise to provide a reversionary yield of 6.45%, predominantly following rent reviews in 2028 and a lease renewal or reletting in 2029.

The total cost of the Acquisition, which includes stamp duty land tax and due diligence fees, is anticipated to be approximately £2.95 million and will be funded as to approximately 60% from Wynnstay's cash reserves with the balance being drawn from existing borrowing facilities.

The Acquisition is expected to complete at the end of May2025.

Commenting on the transaction, Chris Betts, Managing Director of Wynnstay said:

"These well-let light industrial properties are highly accessible and positioned to benefit from the strong local economy of Cambridge and the impetus it provides for future growth in the region and will broaden the geographic spread of Wynnstay's portfolio".