Home REIT has begun the process of stabilising its property portfolio with a series of sales that has seen the embattled trust offload 40 properties at an average loss of 60.6%, compared to purchase price.
At a public auction held on 3 August, the trust exchanged on the sale of 40 properties, representing 1.6% of the company by number, for a total of £4.8m, which is expected to complete in around one month's time. 'The circle is collapsing': How a demolished house in Lancashire uncovered Home REIT's broken business model The properties were chosen for their "limited prospects for income and capital return given the required capital expenditure in order to be brought up to specification". Sold for an average of 39.4% of purchase price, Home REIT said this reflects the "vacant status o...
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