LondonMetric Property Plc (LondonMetric) announces that it has transacted on c. €83.3m of warehouse acquisitions and c. €59.5m of non-core disposals.
The c. €83.3m acquisitions consist of seven warehouses with a WAULT of 15 years, acquired at a blended NIY of 5.8%, rising to a minimum of 6.1% over the next two years and 6.5% after five years, with 91% of rent subject to open market reviews. They comprise: a c. 16,907m2 regional logistics warehouse in Avonmouth let to Farmfoods Ltd acquired through a sale and leaseback for c. €31.4m and with five-yearly rent reviews to the higher of OMV or CPI+1 compounded annually; a 19,602m2 fully let urban logistics park in Wednesbury acquired from a pension fund for c. €29.8m with a low site density of 21% and immediate asset management opportunities through open market reviews; and five trade warehouses in Leeds, Derby, Swindon, Bolton and Farnham totalling 10,498m2, were acquired for €22.5m and let to Travis Perkins (x2), MKM (x2) and Jewson.
The €59.5m of disposals consist of ten former LXi assets and a former CTPT asset, which have been sold at a blended NIY of 7.2% and in line with 31 March 2024 book values. They comprise a 15,700m2 Compass training centre in Milton Keynes sold for €28.2m; a 3,159m2 car showroom in York let to Vertu sold for c. €12.5m; a 15,700m2 self-storage asset in Basildon let to Lok’nStore sold for c. €11.9m; seven care homes sold for €3.8m; and 1,672m2 Nissan car showroom in Doncaster sold for c. €3m.
Andrew Jones, Chief Executive of LondonMetric, commented: “We have been very clear on our desire to monetise some assets acquired from our corporate takeovers. We have now sold c. €119m of LXi assets, with 13 of the 16 non-core CTPT assets also sold at an average of 14% above our original underwrite values. We have successfully reinvested these proceeds into high-quality properties, in stronger sectors that will deliver accelerated income growth.”
Image source - Pexels.
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