10 Jan 2019

M7 Real Estate purchases £22.4 million portfolio of assets for REIP VI

London, 10 January 2019 – M7 Real Estate, the pan-European real estate investor and asset manager, announces that, on behalf of M7 Real Estate Investment Partners VI (“M7 REIP VI”), it has acquired a total of six office and logistics assets, from six vendors, for £22.4 million.

M7 is reinvesting the proceeds from the sale of a portfolio of UK regional assets to Regional REIT in August 2018 for £31.4 million. This is in line with M7 REIP VI’s strategy of investing in regional, high yielding real estate assets, with strong fundamentals and asset management upside, which generate stable attractive income distributions for investors over the medium to long term.

The acquired assets total 1,043,055 sq ft and comprise three office assets, located in Liverpool, Stirling and Glasgow, and three logistics assets in Barnsley, Workington and Inverclyde. The assets were acquired for an in place net initial yield of 10.6% and have limited vacancy but provide significant accessible reversion.

Will Hunting, Senior Acquisitions Manager commented: “Following the portfolio disposal in the summer, which enabled us to deliver a further portion of original equity back to investors, we are efficiently reinvesting the remaining proceeds in to a selection of assets with both income and capital growth potential. These purchases demonstrate M7’s continuing strategy of driving portfolio value via the aggregation of multiple small cap assets, combined with pro-active asset management once acquired.”