Friday 25 November 2022

UK-based office investment and development company Circle Property Plc (AIM: CRC) has exchanged contracts on the sale of refurbished city centre, mixed-used property Somerset House, Temple Street, Birmingham to Somerset Land and Property Ltd, for GBP 15.18m (USD 18.33.), the company said.

Completion is expected by the end of February 2023.

The exchange of contracts is line with Circle Property's disposal strategy.

Somerset House comprises approximately 38,805 sq ft of office space let to BE Group Ltd. and 10,956 sq ft of leisure accommodation let to Las Iguanas Ltd. and Camerons Brewery Ltd., with two leases of approximately 13 years to expiry and total rent passing of approximately GBP 1.2 m per annum.

The company repaid the amount outstanding under its debt facility in full and is debt free. The net proceeds from disposals, following completion, will be held as Group cash and the board expects that a minimum of two returns of capital will be made to shareholders, the first of which is expected to occur by March 2023.