LXi REIT plc (LON:LXI), the specialist inflation-protected very long income REIT, has today announced the following profitable disposal.
Following receipt of an unsolicited approach, the Company has sold two social housing assets for an aggregate price of £2.2 million to a specialist fund:
· reflecting a net exit yield of 5.15%, which compares favourably to the net acquisition yield of 6.0% paid by the Company in 2017;
· representing a 15% uplift on purchase price and a 3% premium to latest book value; and
· generating an attractive geared IRR for the Company of over 15% per annum.
LXi REIT intends to redeploy the proceeds of the sale into its accretive asset pipeline once the impact of Covid-19 has become clearer.
