Schroder REIT has raised a further £27m in its programme of ongoing share placings to take advantage of growth opportunities in the UK commercial market.
The REIT declined to confirm where the new monies would be invested but said they were already earmarked.
The placed shares represent an increase of about 10% in the fund’s size and take the total equity raised this year to £57.4m.
The fund also announced it had acquired a retail warehouse in Bletchley, Milton Keynes, for £9.9m at a net initial yield of 6.5%. The property is let to Matalan for a further 6.5 years at a rent of £675,800 pa.
In its half-year results to 30 September, announced this week, Schroder REIT posted a 13.4 increase in NAV per share. Its underlying property portfolio delivered a total return of 12.7%, outperforming the IPD index benchmark at 9.2%.
