Warehouse REIT, the multi-let warehouse investor, announces that it has completed on the sale of £57.5 million of single-let assets in three separate transactions. The combined sales price is in line with the 31 March 2024 valuation and represents a net yield on passing rent of 5.8%.


This brings total sales since our deleveraging plan was announced in November 2022 to £165.2 million.


The transactions comprise: Barlborough Links in Chesterfield, sold for £46.0 million; Parkway Industrial Estate in Plymouth, sold for £6.3 million; and Celtic Business Park in Newport, sold for £5.2 million.


Following the sales, the portfolio’s multi-let weighting increases from c.70% as at 30 September 2023 to c.77% on a pro forma basis. This is in line with our strategic focus on the multi-let warehouse asset class, which can accommodate a broader range of occupier at every stage of its life cycle, and provides faster access to rental reversion, given the frequency of lease events.


Warehouse REIT remains committed to extracting value from Radway Green, its development site in Crewe, where negotiations are progressing well.


Simon Hope, Warehouse REIT, commented: “Rebuilding dividend coverage is our key priority, and by reducing our debt and our finance costs, the sale of these single-let assets is an important milestone in that respect. At the same time, we continue to reshape our portfolio to focus on the highly attractive multi-let subsector of UK real estate, which plays to our strengths and is where we can drive income and capital growth over the long term.”


Warehouse REIT will announce its full year results for the period ended 31 March 2024 on Tuesday 25 June 2024. There will be an in-person presentation for analysts and professional investors at 9am on the morning of the results announcement, as well as a live audio webcast. Please contact FTI Consulting for further details or to register interest.