Cromwell European REIT (CEREIT) is divesting its Parc de Popey asset at 5 Chemin de Popey in Bar-le-Duc, France, for EUR5.8 million.

The sale consideration is 53% higher than the initial public offering (IPO) purchase price, and 21% higher than its most recent valuation.

These premiums are a demonstration of CEREIT’s ability to realise value, and recycle capital effectively, said Simon Garing, CEO of the REIT’s manager.

The divestment is not expected to have any material effect on CEREIT’s net tangible assets.

The REIT’s manager will collect a divestment fee of EUR29,000 being 0.5% of the sale consideration.

The divestment is expected to be completed in 3Q 2021 once certain customary conditions are satisfied, said CEREIT.

CEREIT was last done on the SGX at EUR2.37, which currently implies a distribution yield of 7.35% according to data compiled on the Singapore REITs table.

Related: Cromwell European REIT puts data centre plans on hold as Stratus agreement collapses