Prominent Derby offices sold in £2m deal

Leicester-based Custodian Property Income REIT, has sold Number One Pride Place on Pride Park in Derby for just over £2m.

The price for 16,869 sq ft office is 36% ahead of the 30 September 2023 valuation.

Richard Shepherd-Cross, managing director of Custodian Capital (the company’s external fund manager), said: “This office was acquired as part of the Company’s IPO portfolio in 2014 and has provided the Company with a healthy level of income over nine years of ownership.

“Given limited opportunities for further rental growth and in line with our strategy, we felt that now is the right time to sell. We expect to use the sale proceeds to repay variable rate debt and fund accretive improvements in the remaining portfolio, both of which we believe will better support the strategy of providing our shareholders with strong income returns.”