JSE-listed RDI has sold City Point, an office in Leeds, for £26.05m as part of its strategy of selling mature assets and investing the proceeds in new growth opportunities. CE Mike Watters said the office was sold at a premium to the acquisition price of 20.6%, showing that RDI had delivered significant value for investors. RDI said in 2017 it was in a position where it could sell a number of assets at attractive prices in Germany and especially in the UK. RDI, which is an FTSE 250 income-focused UK real estate investment trust, originally bought the office as part of a portfolio that it acquired from Aegon UK Property Fund in March 2016. City Point was bought for £21.6m, with a vacancy of more than 17%. RDI let 1,022m² to Blacks Solicitors in January 2017, bringing the asset to full occupancy. The sale price represents a net initial yield of 5.8% and a 15.3% premium to the last reported market value. The geared internal rate of return over the investment period was more than 20%. T...
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