SEGRO plc (‘SEGRO’ or ‘the Company’), the FTSE 250 owner, asset manager and developer of modern warehousing and light industrial property, has announced that it has appointed CBRE to explore a potential sale of its portfolio of offices on the Bath Road in Slough.
The portfolio contains approx. 90,329 m² (972,300 ft²) of office properties leased to companies spanning blue-chip, national, and international businesses, and one building currently being developed on a speculative basis. The portfolio generates approx. €29.5 mln (£21.6 mln) of annualised rent (topped up for rent-free periods and rental guarantees) and has a vacancy rate of approximately 5% as at 31st July 2015 and a weighted average lease length of seven years to the earlier of break or expiry.
There can be no certainty either that any sale will occur, or of the nature or terms of any such transaction. A further announcement will be made as appropriate.
SEGRO’s stated strategy is to develop, own and manage modern warehousing and light industrial property in and around major conurbations and at key transportation hubs. The Slough Trading Estate is the largest industrial estate in the Group’s portfolio, with 603,869 m² (6.5 million ft²) of office and warehouse space. As one of Europe’s most important business parks, it will continue to be a core part of the Group’s ongoing strategy and SEGRO remains fully committed to the continued investment in the remainder of the Slough Trading Estate.
According to a SEGRO spokesperson:
“We have appointed CBRE to undertake a marketing campaign ahead of a potential sale of the portfolio of offices on the Bath Road in Slough. This is in line with our company strategy to invest in high quality big box, urban logistics and light industrial warehouses around key transport hubs and population centres in the UK and Continental Europe. The Slough Trading Estate, the largest industrial estate in SEGRO’s portfolio and one of Europe’s most important business parks, will continue to be a core part of our ongoing strategy and we remain fully committed to the continued investment in the remainder of the Slough Trading Estate.”
Source: SEGRO plc
