MAS grows with Edinburgh deal
MAS Real Estate made its second acquisition in less than a week on Friday, buying two office buildings — known as Princes Exchange and New Uberior House — in Edinburgh, Scotland, for £71m.
MAS Real Estate made its second acquisition in less than a week on Friday, buying two office buildings known as Princes Exchange and New Uberior House in Edinburgh, Scotland, for £71m.
MAS, through subsidiary MAS (IOM) Holdings, concluded a sale and purchase agreement to acquire the entire issued share capital of New Uberior House, which owns the two adjoining commercial buildings.
The £71m purchase price was settled in cash. Bank debt of £39m, would be drawn against the property, which will result in a net equity investment of £32m, before acquisition costs.
Morné Wilken, CEO of MAS, said the acquisition of the grade A office buildings in the heart of the financial district of Edinburgh “proved the unique dealmaking capabilities of the team”.
“This further leverages our significant experience in the Edinburgh property market, having delivered on the awardwinning New Waverley mixeduse development,” he said.
The office buildings are grade A and have an aggregate gross lettable area of 14,718m² with 175 parking spaces. They are located in the heart of the financial district of Edinburgh.
The property is let to a sole tenant, Bank of Scotland, over several leases, all of which expire in December 2025.
Bank of Scotland is a subsidiary of the Lloyds Banking Group. The current passing rent is £4.15m a year.
Last Monday, MAS announced that it had acquired Militari shopping centre in Bucharest, Romania for €95m.
Metope Investment Managers CE Liliane Barnard said MAS was freeing up capital for accretive opportunities.
“The company’s investment case on a slowly improving retail environment, and a portfolio of great assets, remains solid in my opinion,” said Garreth Elston a research analyst at Golden Section Capital.
THIS … LEVERAGES OUR EXPERIENCE IN EDINBURGH HAVING DELIVERED ON THE WAVERLEY DEVELOPMENT