LXi shops for Aldi and Lidl after disposals

LXi REIT has completed a series of sales to offload office and residential assets, at the same time as adding to its supermarket portfolio. The REIT has sold its sole office, a council office in Glasgow, for £8m, a 17% premium to purchase price. It has also disposed of an 11-asset social housing development for £8.5m – a 14% premium – and sold non-operational land next to its Travelodge hotel in Llanelli for £500,000. On the acquisition side, the company has agreed the prelet forward funding of a Lidl supermarket in West Bridgford, Nottinghamshire, and has bought a supermarket in Lytham St Annes, let to Aldi, for a combined £15m. Simon Lee, co-manager of LXi REIT, said: “This capital recycling reflects the company’s continuing, but selective, expansion into the foodstore sector, with a particular focus on right-sized stores acquired off-market at attractive yields and let or prelet to strong tenants on low, sustainable rents. The sales have crystallised attractive returns on assets from which we have extracted maximum value.” To send feedback, e-mail tim.burke@egi.co.uk or tweet @_tim_burke or @estatesgazette Photo by Maureen McLean/Shutterstock (10629878p)