LondonMetric Property has exchanged on the sale of five assets in two transactions for €39.5m (£34.8m), which reflects a NIY of 5% and a 4% discount to 30 September 2022 book value. Four of the assets have been sold as a portfolio for €29m (£25.5m). The properties have a WAULT of four years and comprise:
- 82,000ft² in Coventry;
- 42,000ft²in Warrington;
- 37,000ft² in Golden Cross, Birmingham; and
- 37,000ft² in Redfern, Birmingham.
In a separate transaction, LondonMetric has sold an additional 91,000ft² unit in Coventry for €10.5m (£9.3m). The property is let for a further nine years and is held on a long leasehold interest with 87 years unexpired. Since acquisition, LondonMetric has carried out various asset management initiatives on these assets including lease re-gears, rent reviews and removal of break clauses. The sales crystallise an ungeared IRR of 11% and a 28% profit on cost.
Andrew Jones, Chief Executive of LondonMetric, commented:“These assets have performed well since acquisition and support our early macro call into urban logistics. Our disposals over the last 12 months now total €284m (£250m) and we will continue to seek out new urban and regional warehouse opportunities where we can leverage our asset management capabilities.”
