Cromwell E-Reit sells 12 assets, buys 3 in Europe

THE manager of Cromwell European Real Estate Investment Trust (Cromwell E-Reit) has sold 12 light industrial/logistics assets as well as acquired three others in Europe.

Both deals were completed on Tuesday, the manager said in a bourse filing on Wednesday morning.

The 12 properties - in France, Denmark and the Netherlands - were sold to The Blackstone Group through a master sale and purchase agreement for a price of 65.7 million euros (S$102.5 million).

The total cost of this disposal is about 700,000 euros, comprising the disposal fee payable to the manager as well as professional and other fees and expenses.

Meanwhile, the three properties acquired are freehold light industrial/logistics assets located in Germany.

Cromwell E-Reit completed the acquisition under a sale and leaseback arrangement. The purchase cost of the German portfolio is estimated at 40.9 million euros, comprising the purchase price of 38 million euros, the acquisition fee payable to the manager in cash, as well as professional and other fees and expenses.

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Following the completion of the two transactions, Cromwell E-Reit's portfolio now comprises 94 properties in Denmark, Finland, France, Germany, Italy, the Netherlands and Poland, valued at about 2.08 billion euros.

Two weeks ago, the manager said the novel coronavirus outbreak has had "minimal impact" on its income from properties in Italy and the wider European region.

As at Tuesday, confirmed cases of Covid-19 totalled more than 69,100 in Italy, close to 33,000 in Germany, and more than 22,600 in France. The Netherlands had over 5,500 cases, Poland reported slightly more than 900, while Finland had almost 800 infected people.

Units of Cromwell E-Reit gained four euro cents or 13.8 per cent to finish at 33 cents on Tuesday.