LondonMetric Property has sold seven long income assets for €38.3m (£33.9m), reflecting a blended NIY of 4.5% and crystallising a blended ungeared IRR of 10% and a 28% profit on cost.
The assets, which generate €1.6m (£1.4m) p.a. of rent, are fully let with a WAULT of 14 years and comprise:
· a 19,000ft² Aldi store in Weymouth, sold for €7.7m (£6.8m);
· a 53,000ft² urban warehouse let to Restore Scan in Salford, sold for €7.5m (£6.6m);
· a 42,000ft² self storage unit in Oldbury, sold for €6.4m (£5.7m);
· a 16,000ft² Premier Inn in Ringwood, sold for €9.8m (£8.65m);
· a 22,000ft² trade unit let toJewson in Littlehampton, sold for €4.5m (£4m); and
· a portfolio of two IMO car washes sold for €2.5m (£2.2m).
LondonMetric also announces that it has completed on the sale of a new M&S Foodhall in Derby for €7m (£6.2m). Exchange of the sale was previously announced in 2021. The assets have been sold at an average discount of 4.7% to 30 September 2022 book value.
Andrew Jones, Chief Executive of LondonMetric, commented: “With the investment market strengthening over the past few months, we have taken advantage of this improved liquidity to opportunistically sell down some of our more mature long income assets. These sales crystalise strong returns and have been transacted at attractive yields and narrow discounts to book values.”