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- Urban Logistics REIT portfolio value up 3.8% over interim period
Urban Logistics REIT portfolio value up 3.8% over interim period – The Property – UK Commercial sector company, Urban Logistics REIT (SHED), has provided a trading update following the end of its interim period to 30 September 2019. In advance of reporting half-year results on 14 November, SHED has said:
Six logistics properties acquired from Connect Group plc for £9.9 million at a net initial yield of 7.0%. The portfolio is let to Tuffnells Parcels Express on 20-year leases with fixed rental uplifts
Two logistics properties let to DHL Parcel UK in Sittingbourne and Thatcham acquired for £5.3 million at a 5.9% blended net initial yield
Logistics properties in Nuneaton, Bedford and Dunstable were sold for £18.4m, representing a profit on cost of 61.2% and a total property return of 75.9%. These were on average 7.9% ahead of book value
Richard Moffitt, chief executive, commented: “Urban Logistics remains real estate’s top performing sub-sector and we have again delivered a strong performance for our interim period.
“The results are driven by our asset management activities – notably, increasing rents across our core locations and selling ahead of book values. We remain on track to meet our objectives for the current financial year.
“Our well-located portfolio continues to offer reversionary potential that we intend to capture as part of our ongoing asset management programme.”
SHED: Urban Logistics REIT portfolio value up 3.8% over interim period