Alternative Income REIT PLC (LSE:AIRE) said on 28 October 2026 that HSBC has consented to the change of control triggered by Glenstone REIT's offer and to the company's subsequent de-listing. The bank has also waived any right to demand repayment of its £41 million facility because of the change of control and agreed to keep funding future drawings.

What was announced

Alternative Income REIT (AIRE) announced a further financing update concerning its £41 million facility agreement with HSBC UK Bank plc, dated 2 September 2025. The announcement was made as inside information under the UK Market Abuse Regulation.

AIRE and HSBC have entered into a waiver and amendment letter to the facility agreement, referred to in the announcement as the "Side Letter". Under the Side Letter, HSBC has:

consented to the change of control of AIRE and to the company's subsequent de-listing from the London Stock Exchange;

agreed to fund future utilisations under the facility agreement despite the change of control; and

waived any right to request repayment of amounts outstanding under the facility agreement arising from the change of control.

Background: the Glenstone offer and HSBC's reservation of rights

The change of control arose from the all-cash offer for AIRE made by Glenstone REIT plc. Once that offer was declared unconditional, it constituted a change of control under the terms of the HSBC facility agreement.

On 14 September 2026 AIRE announced that it had received a reservation of rights letter from HSBC in connection with the facility agreement, issued after the offer was declared unconditional. A reservation of rights letter of this kind typically signals that a lender is preserving its options under a loan agreement rather than waiving them. The Side Letter now resolves that position: HSBC has consented to the change of control and waived the repayment right linked to it.

In practical terms, the announcement removes the possibility, so far as it relates to the change of control, that HSBC could have required early repayment of amounts drawn under the £41 million facility. It also confirms that the facility remains available for further drawings after the takeover.

What was not disclosed

The announcement is short and gives no further financial detail. It does not state how much of the £41 million facility is currently drawn, the facility's interest rate or maturity, whether any fee was paid for the waiver, or whether any other terms of the facility were amended beyond those described. It does not provide the Glenstone offer price or other offer terms, and it does not give a timetable for AIRE's de-listing from the London Stock Exchange. No comment from the board or from Glenstone was included.

Who is involved

Enquiries are directed through Hanway Advisory Limited, the company secretary, with Adam Smith, Robert Maybury and Benjamin Green listed as contacts. Rob Maybury is named as the person responsible for arranging the release.

What to watch next

With HSBC's consent in place, the next step referenced in the announcement is AIRE's de-listing from the London Stock Exchange following the change of control. Shareholders may look for an announcement setting out the timing of that de-listing, as well as any further updates from Glenstone on its plans for the company. The announcement does not indicate when those updates will be made.