LXI REIT has begun trading on the London Stock Exchange.
Earlier this month, LXI raised £138.2m after issuing shares at 100p per share, having initially targeted £200m from the IPO.
On 27 February when trading began, the shares opened at 103p but prices flattened through the middle of the week at around the issue price.
The raise has been undertaken as a “cash box” but the REIT said it had a “substantial pipeline already identified and initial capital expected to be invested or committed within six months”. It added that it had entered into exclusivity agreements on various assets.
The investment adviser to the REIT are the directors of LJ Partnership-backed Osprey Equity Partners. The LXI board is chaired by Stephen Hubbard, UK chairman of CBRE.
The REIT will target long-term, inflation-protected commercial property across all assets classes. It will buy property with 20- to 30-year leases let to institutional clients on leases with upward-only rent reviews.
