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CLS Holdings PLC on Thursday announced the sale of a student accommodation site in London for £101.1 million. CLS has unconditionally exchanged on the sale of Spring Mews Student in Vauxhall, London to real estate investment firm Rosethorn Capital Partners and asset manager Barings. The commercial property investment company said the net cash consideration is in-line with the December 31 valuation, and 8.1% ahead of its value at the end of 2023. ‘In 2014, CLS constructed its student accommodation asset as part of the mixed-use Spring Mews development, comprising student, hotel and office properties. Since the early years, Spring Mews Student has always been fully occupied, apart from during the Covid pandemic, and in 2024, following a minor refurbishment, it achieved record profits,’ CLS added. ‘The sale has also provided an opportunity to address upcoming loan maturities for New Printing House Square in Holborn and Artesian in Aldgate, which were due in June and December 2025, with the properties being substituted for Spring Mews Student into an existing portfolio loan with Aviva Investors.’ On the Spring Mews sale completion, disposal proceeds will go towards repaying £85.8 million of debt for the Holborn and Aldgate properties being substituted into the Aviva Investors portfolio. ‘The restructuring of the financing allows CLS to repay more expensive debt whilst retaining the Aviva Investors portfolio loan largely intact,’ CLS added. ‘The sale of Spring Mews Student will therefore be marginally earnings enhancing.’ Chief Executive Fredrik Widlund said Spring Mews has been a ‘very successful development for CLS’. ‘The sale demonstrates CLS’s ability to develop, operate and realise value through its structured, pro-active approach and, at the same time, deliver on several strategic priorities by addressing upcoming loan maturities and reducing [loan-to-value],’ Widlund added. CLS shares rose 3.3% to 72.81 pence each in London on Thursday morning. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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