Urban Logistics REIT has announced it has offloaded logistics assets in Nuneaton, Bedford and Dunstable for £18.4m in its latest trading update.
The REIT also announced it has acquired six logistics properties from Connect Group for £9.9m, at a net initial yield of 7%. These properties are let to Tuffnells Parcel UK on a 20-year lease.
It has separately acquired two further properties in Sittingbourne and Thatchem for £5.3m at a 5.9% blended net initial yield. Both properties are let to DHL Parcels Express.
The company’s portfolio valuation has increased by 3.8%, up to £195m since 31 March 2019 on a like-for-like basis.
It has a net debt of 34.1%, up from 33.7% on 31 March 2019, and has a 100% occupancy across 38 logistics properties.
Richard Moffitt, chief executive, said: “Urban Logistics remains real estate’s top performing sub-sector and we have again delivered a strong performance for our interim period.
“The results are driven by our asset management activities – notably, increasing rents across our core locations and selling ahead of book values. We remain on track to meet our objectives for the current financial year.
“Our well located portfolio continues to offer reversionary potential that we intend to capture as part of our ongoing asset management programme.”
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