Frasers Centrepoint Ltd. and Frasers Commercial Trust are jointly buying Farnborough Business Park in the U.K. for a total price of £174.6 million.
The acquisition from HEREF Farnborough Holdco Ltd. is being made on a debt-free basis. Frasers Centrepoint and Frasers Commercial will each have a 50% stake in the 46.5-acre property, which consists of 14 commercial buildings across a total net lettable area of about 555,000 square feet in Thames Valley, west of London.
The 98.1%-let property has a long weighted average lease expiry of 8.3 years and houses 36 tenants including Fluor Ltd., INC Research UK Ltd., Time Inc (UK) Ltd., Aetna Global Benefits (UK) Ltd. and a unit of Regus.
The purchase is slated to be completed by the end of January 2018.
Frasers Centrepoint's group CEO Panote Sirivadhanabhakdi said in a news release that the deal forms part of the company's strategy to boost its presence in international markets.
Bobby Chin, chairman and independent nonexecutive director of Frasers Commercial Trust, said the company seeks to diversify its investments outside its current markets in Singapore and Australia by expanding in Europe and initially focus on the U.K.