Last-mile specialist Urban Logistics REIT has spent £41m buying the East Midlands Logistics Hub.
The 72-acre site, near Melton Mowbray on the A1, has four units, yard space and the potential for a further 175,000 sq ft of development. The three large units, totalling 665,000 sq ft, are let to Asfordby Storage and Haulage on a short-term lease, with the remaining 6,773 sq ft unit let to Royal Mail.
The hub formed the bulk of a further £45m of capital laid out since the REIT’s last update in March, at a blended net initial yield of 6.7%. It brings the total capital deployed since its December 2021 fundraise to £184m, at a blended NIY of 5.4%.
Chief executive Richard Moffitt said: “Our portfolio continues to grow at a substantial pace, having completed 14 transactions since our December 2021 equity raise. As we look ahead, we are optimistic that we can continue to source attractive, value-accretive acquisitions that are strategically positioned in current and emerging logistics hubs.”
The REIT also paid £4.2m for a 26,000 sq ft logistics asset on Outer Circle Road, Lincoln, at a NIY of 5.8%. The two-acre site is let to Wickes Building Supplies for a term of 10 years
Urban Logistics said it had finalised five new lettings, three rent reviews and agreed two lease regears over the past month, covering 630,000 sq ft.
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