Friday, May 20, 2022
Real EstateUK

FirstGroup agrees property disposals from Greyhound division


It includes the sale of Greyhound’s customer terminal facility to a subsidiary of Prologis

Transport giant FirstGroup has agreed three property disposals in Los Angeles, Colarado and Ontario, it said on Thursday.

FirstGroup said the disposals, for total gross proceeds of $137 million (£102 million),  are part of its programme to rationalise its coach line Greyhound’s property portfolio.

FirstGroup, which runs the GWR trains out of Paddington to Wales and the West Country, said the largest part of the sale is Greyhound’s legacy garage and customer terminal facility in the downtown arts district of Los Angeles, to a subsidiary of logistics real estate business Prologis.

Greyhound will lease back the site from Prologis for two years, during which time it will complete the moves of its terminal to a more convenient location for customers and of its garage operations to a more appropriately-sized site elsewhere.

The other two property disposals announced today are of sites in Denver, Colorado, and in Ottawa, Ontario.

The customer terminal in downtown Denver has moved elsewhere. Activities at the Ottawa garage were relocated as part of Greyhound’s withdrawal of service from parts of Canada in 2018/19.

FirstGroup said: In total, all three properties’ book value was $24m as at 30 September 2020, resulting in a total profit on sale for all three transactions of approximately $100m (net of leaseback, property tax and selling costs). The cash proceeds from the transactions will be used for general corporate purposes.

It said that these transactions are a further step in the group’s rationalisation of the Greyhound property portfolio for value, reducing the operational footprint by moving operations to intermodal transport hubs or new facilities better tailored to customers’ needs.

A number of other property sales processes are also underway.

FirstGroup, which has seen UK passenger numbers hit this year due to Covid-19 disruption, is looking to sell the Greyhound business.


The articles are for information purposes only and Invest for Property shall not be held responsible for any errors, omissions or inaccuracies within it. Any rules or regulations mentioned within the website are those relevant at the time of publication and may not be the most up-to-date.

Invest for Property does not endorse any of the products or services that appear on it or are linked to it and are not liable for any action that you may take as a result of the content of this website, or losses or damage you may incur doing so.

There is no obligation to purchase anything but, if you decide to do so, you are strongly advised to consult a professional adviser before making any investment decisions.

Please remember that investments of any type may rise or fall and past performance does not guarantee future performance in respect of income or capital growth; you may not get back the amount you invested.

Leave a Reply