REI anticipates further acquisitions
REAL Estate Investors (REI) is predicting a year of continued activity in 2014 and has said this is likely to include further acquisitions.
In its pre-close trading update for the year ended December 31, the West Midlands-based property investment company said occupier demand is on the increase.
Chief executive Paul Bassi said: “We are experiencing an improving regional investment and occupier market, resulting in an excellent year of progress in 2013.
“During 2014/15, we anticipate continued activity across our portfolio, capitalising on our market reputation and knowledge, with further opportunistic acquisitions, sales and lettings. Our portfolio remains stable, secure and full of capital and income enhancing opportunities.
“With improved demand and negligible new supply, we anticipate good rental growth, and look forward to 2014/15 with optimism, with the view to a continuation of our progressive dividend policy.”
REI’s disposals in the second half included further non-core historical assets realising £6.2m.
In December REI acquired the building comprising 37a Waterloo Street/Bennetts Hill in Birmingham. The Company’s property portfolio in Birmingham now stands at at 180,000 sq ft.
REI said further acquisitions are anticipated during 2014 as it continues to build its core portfolio
Significant lettings last year included the Royal College of Surgeons taking a ten year lease for the fifth floor of 85-89 Colmore Row, at a rental of £74,320 a year and Sandwell Inspired Partnership Services taking just under 25,000 sq ft on a ten year lease at Guardian House in West Bromwich at an annual rental of £251,792.
