Frasers Property to divest four logistics properties

Frasers Property Limited, through its subsidiaries, has agreed to sell its interests in four freehold logistics properties located in Germany and the Netherlands.

Logistics

The buyer is FLT Europe, a subsidiary of Frasers Logistics & Commercial Trust (FLCT).

The proposed transaction involves divesting the equity interests in four property-holding companies that own these logistics properties. The sale is contingent on several conditions, including approval from FLCT's unitholders, the execution of a facility novation (transfer of a loan agreement), and the completion of roof lease transfers for two of the properties.

The purchase price for this divestment is approximately €214.9 mln. This figure was determined through negotiations between a willing buyer and seller, based on the estimated net assets and liabilities of the property companies at the time of completion, as well as inter-company loans owed by these companies. The payment will be made in cash by FLT Europe.

This divestment aligns with Frasers Property's strategy to recycle capital and actively manage its portfolio of stable investment properties, particularly through its real estate investment trusts (REITs). This approach aims to optimise capital productivity and support the growth of its REITs