Custodian Property Income REIT Updates on Merlin Properties Acquisition

Custodian Property Income REIT plc has provided an update on its £22.1 million acquisition of Merlin Properties. The transaction, announced in June 2025, has successfully integrated Merlin's assets into the company's portfolio. These properties have maintained nearly full occupancy, with identified opportunities for increased rental income.

Strategically, the acquisition led to the sale of non-core assets. Two Merlin properties sold for £0.6 million, a 16% increase over the purchase price. Additionally, five more assets, sold at auction, fetched 46% above the purchase price, totaling £2.2 million. Proceeds are earmarked for future portfolio improvements.

The transaction involved issuing 22,928,343 new ordinary shares, with additional shares issued as completion accounts finalized. Custodian REIT aims to use the strategy to further scale and enhance earnings amid challenging market conditions.