Segro, a property investment and development company, announced that it had sold its Neckermann developement in Frankfurt and its IQ Winnersh site in the UK.
Segro said that it had sold its IQ Winnersh for GBP245.1 million in cash to Patrizia AG and Oaktree Capital Mangement LP in a joint venture. IQ Winnersh is a 118,200 square meter park near Reading. It is currently used as mixed suburban office and light industrial zone.
Its Neckermann site, on the otherhand, was bought by a group of private investors for around EUR46 million in cash. The Neckermann site is a 309,000 square meter bespoke office space. The site was previously occupied by Neckermann, a mail order firm, before it filed for insolvency in 2012. The site was fully vacated earlier this year.
"The disposal of the Neckermann site, one of our three remaining large non-strategic assets, is an important step forward for us. Given the large and bespoke nature of this asset, the age of the buildings and planning constraints on the site, we are pleased to be able to move on so quickly after Neckermann's exit. Our local team will now be able to devote their energies in Germany to developing our core business," said Phil Redding, the company's chief investment officer.
The net proceeds are around EUR4.3m less than the December 2012 book value for both of the properties.
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