Life Science REIT has posted a fall in its portfolio valuation because it appears to dump its remaining property.
In a inventory alternate discover the corporate, which is within the strategy of a managed wind-down, stated its portfolio valuation on the finish of 2025 stood at £332.6m, a 7.8% drop for the reason that finish of June. Drawdowns from the REIT’s debt facility added to a 13% fall in internet tangible property to £201.8m.
Although the corporate stated an outward yield shift throughout its portfolio was “in line with wider market trends”, it acknowledged that a few of its property “are experiencing higher ongoing vacancy levels”, including: “The drop off in VC and second phase funding for life science companies has been a particular drag on laboratory occupier demand across the key “Golden Triangle” markets.”
The most important decline is at its Cambourne Park Science and Technology Campus. “Although lease regears with the two largest occupiers have been agreed and ERVs have been maintained, the vacancy levels and capex requirements have had a significant negative impact on the year end value,” the corporate stated. “Due to the absence of lab take up to date, the park has now been valued on the basis of an office/business park rather than a prime life science/technology park.”
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