LondonMetric Properties Plc - ACQUIRES PORTFOLIO OF 14 LOGISTICS WAREHOUSES FOR £116.60 MILLION
The Portfolio has a WAULT of 5.6 years and is let at a low average rent of £5.50 psf (ERV of £6.00 psf). Over 60% of the £7.2 million income is from retailers and third party logistics operators including DHL, Howdens, Unipart and Royal Mail.
This acquisition increases LondonMetric's distribution weighting to 69%1 and LTV to 37%1,2.
Andrew Jones, Chief Executive of LondonMetric, commented:
"Following recent non-core disposals of Milford Haven, Loughborough and Marlow totalling £116.3m, we are pleased to have re-invested the sale proceeds into the distribution sector within such a quick timescale.
"The urban logistics market continues to benefit from a highly favourable demand/supply imbalance and this acquisition further increases our critical mass in this sub-sector to over £260 million across 38 assets. The acquired portfolio is fully income generating and offers good opportunities to extend lease lengths and capture strong income growth."