Warehouse REIT has paid off a chunk of debt after completing £30m of disposals, including the Dales Manor Business Park in Cambridge.
The business park sold for £27m, reflecting a net initial yield of 4.5% and a 17% premium to the March 2023 book value.
Proceeds will be used to pay down the company’s debt, following a refinancing with a new £320m facility in June.
Following the sales, the REIT’s net debt is now around £275m.
Peter Greenslade, finance director at the REIT’s adviser Tilstone Partners, said: “The combination of recent sales and the company’s refinancing has significantly strengthened the balance sheet and earnings position. The improved covenants on the new facility are a testament to the strength of our banking relationships as well as the quality of the Warehouse REIT portfolio.”
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