LondonMetric Property has sold a Tesco’s logistics warehouse in Bolton for £24.4m, reflecting a net initial yield of 5.35%.
The 274,000 sq ft regional warehouse was acquired as part of the £117m Cabot logistics portfolio in August 2017 off a blended net initial yield of 6.1%.
The unit is let to Tesco for a further four years at a rent of £1.4m pa, equating to £5.27 per sq ft.
LondonMetric retains the remaining 13 logistics assets from the Cabot portfolio, of which 11 are urban logistics units.
Andrew Jones, chief executive of LondonMetric, said: “Consumer shopping patterns in food retailing continue to evolve quickly and so in response to strengthening investor appetite for logistics assets over the past few months, we have decided to monetise this asset.
“In line with our strategy, we will recycle the proceeds into our growing urban logistics portfolio and our development pipeline, which offer more attractive yields and greater certainty of growth.“
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