Tritax Big Box REIT is targeting a record 28% rental reversion across its portfolio, with management confident in capturing income growth through active asset management and continued strength in the UK logistics market.
In a trading update released ahead of its annual general meeting, the FTSE 250 logistics and data centre specialist said that lease events across just 8.9% of its portfolio had already delivered £2.3m of incremental rent this year — an 8.3% uplift — with open market reviews driving increases averaging 37.3%.
A further 18.6% of contracted rent is scheduled for review during the remainder of 2025, positioning the REIT for a notable acceleration in income.
Colin Godfrey (pictured), chief executive for Tritax Big Box, said: “Our ability to capture this rental reversion, combined with our efficient cost structure and limited near-term debt maturities, underpins our continued earnings and dividend growth.”
The REIT’s logistics portfolio remains underpinned by solid occupier demand, with Q1 2025 take-up of 5m sq ft in line with recent years, and 12.9m sq ft under offer. Despite a rise in vacancy to 6.3%, MSCI reported 1.2% rental growth in Q1 — matching the pace of last year.
Beyond logistics, Tritax is making strides in digital infrastructure. Its first data centre project at Manor Farm, West London, has attracted interest from hyperscalers and co-locators, with NDAs signed and planning on track for consent by year-end 2025. The project’s 107 MW power capacity is available from 2027.
Tritax has also achieved £634m of disposals at or above book value since the September 2022 mini-budget, reinforcing asset quality and supporting ongoing capital rotation. Half of its non-strategic UK Commercial Property assets have now been sold, with the remainder under offer or progressing toward exit in line with guidance.
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