Two more properties have been acquired by property investment firm Drum Income Plus Real Estate Investment Trust (DRIP REIT). The acquisitions, located in Manchester and Gloucester, cost a combined total of £9.71 million.
The company's growth in the UK continues at a rapid pace, with its portfolio now stretching to seven regional investment properties totalling £40.362 million.
DRIP REIT's two purchases are Arthur House in Piccadilly, Manchester (for £4.41 million) and 108 Eastern Avenue Retail Park in Gloucester (for £5.3 million). Arthur House is a multi-let office investment in the heart of Manchester's city centre, with the buying price reflecting an acquisition yield of 8.9%. It is currently occupied by 23 professional firms in the services industry.
Meanwhile, 108 Eastern Avenue Retail Park is already fully let with tenants including Maplins, Farmfood and Staples. Its purchase price reflected an acquisition yield of 8.4%.
DRIP REIT, whose portfolio also includes properties in Dunfermline, Glasgow, Newcastle-upon-Tyne and Gateshead, now has two acquistions in Manchester after the purchase of Lakeside 5500 in Cheadle for £5.275 million earlier this year.
“We are extending the significant momentum that has been created since our IPO in May 2015, securing regional properties that fit with our differentiated investment strategy of focusing on assets between £2m and £15m which offer opportunities to add value," John Evans, DRIP REIT's Chairman, said.
"Our team has extensive experience of entrepreneurial, proactive asset management and of creating investments that deliver revenue and capital appreciation. We continue to follow an asset management strategy that will drive rental growth and maximise additional income opportunities, offering investors an attractive blend of income return and capital growth."