Charing Cross building acquired for further development in £59.25m deal

A building in the heart of London has been sold in a multi-million pound deal.

RDI, the income focused UK Real Estate Investment Trust has announced that it has completed the disposal of 127 Charing Cross Road for a headline price of £59.25m to Nomura Real Estate UK Limited.

The disposal price reflects a 39.1 per cent increase in value since acquisition - a growth supported by the securing of full planning permission to increase the overall area of the property by 41.1 per cent through the development of three additional floors.

Stephen Oakenfull, CEO of RDI, commented: “This disposal marks the conclusion of a well-executed and successful asset management plan designed to enhance the value of an income generating asset.

“We believe that the sale captures a significant proportion of the asset’s potential value and provides us with the ability to recycle capital into opportunities with stronger risk-adjusted returns.

“In the meantime, the proceeds of this transaction further strengthen the balance sheet where we now have cash and available facilities totalling approximately £275 million to execute on our strategy.”

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