LDR Capital Property Fund (ASX:LED) said it exchanged unconditional contracts with a private investor for the divestment of an office asset at 196 O G Road, Felixstow in South Australia for a gross price of AU$30 million, according to a Friday Australian bourse filing.

Settlement of the sale is expected to occur in late September. The property is fully leased to DXC Technology until August 2030.

After allowing for all adjustments, committed capital expenditure, and transaction costs, the fund will realize around AU$106 million in cash from four divestments since LDR Capital assumed management of the fund in February.

The net proceeds from the divestments will initially be applied to debt reduction.