Custodian REIT Acquires £36m Family Property Portfolio

Custodian Property Income REIT plc has announced the strategic acquisition of a £35.9m family-owned property portfolio. This deal marks the second significant acquisition following the Merlin transaction in 2025. The portfolio features a mix of properties with a 97% occupancy rate, enhancing dividend cover and offering asset management opportunities.

The acquisition was finalized by purchasing Grove Court Properties (Holdings) Limited. Custodian issued 24.1m shares as initial consideration, with a further 0.8m shares expected. A cash payment of £9.0m was also part of the deal.

The newly acquired portfolio, with an average lot size of £5.3m, includes assets in Beaconsfield and Gerrards Cross, contributing £2.7m to Custodian's annual rent and featuring tenants like Vertu Motors and BP Collins LLP.

This transaction highlights Custodian's ability to integrate its investment strategy with its REIT structure, providing tax-efficient solutions for family property companies and demonstrating potential for further value creation.