Warehouse REIT plc, a newly incorporated, externally managed, closed-ended investment company, announces its proposed issue of up to 150 million Ordinary Shares to raise gross proceeds of up to €164.5m (£150m) via a placing and offer for subscription (including an intermediaries offer) of ordinary shares in the capital of the Company.
The Company will invest in a diversified portfolio of UK warehouse assets located in urban areas. The Company has already entered into arrangements to acquire, conditional upon Admission, the Tilstone Property Portfolio , a hand-picked seed portfolio of 27 assets, each of which reflects and adheres to the Company’s investment criteria, valued in aggregate at €119.3m (£108.85m).
The Company is targeting a dividend yield of 5.5p equivalent to a yield of 5.5%. for the year ending 31 March 2019, (covered by earnings and based on the issue price of 100 pence per Ordinary Share) and a total return of at least 10%, through a combination of dividends and NAV growth. The Company intends to become a real estate investment trust shortly after Admission. It is the Company’s intention to pay dividends on a quarterly basis and in accordance with the REIT Regime.
The Company is an alternative investment fund for the purposes of the AIFM Directive and as such is required to have an investment manager who is duly authorised to undertake the role of an alternative investment fund manager. The Investment Manager is currently G10 Capital Limited, which role will pass to Tilstone Partners Limited , on receipt of FCA approval. TPL is the vehicle of the management team which assembled the Portfolio and has been responsible for the growth and management of the Portfolio from the first acquisition in 2013 to Admission.
