REG - Warehouse REIT PLC - Progressing disposal plan with £57.5m of sales

Warehouse ReitAnnouncement

24/06/2024 07:00

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RNS Number : 4900T  Warehouse REIT PLC  24 June 2024

24 June 2024

 

Warehouse REIT plc

(the "Company" or "Warehouse REIT", together with its subsidiaries, the
"Group")

 

Progressing disposal plan with £57.5 million of sales, increasing portfolio
weighting towards multi-let warehouses

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.

Enquiries

 Warehouse REIT plc                                             via FTI Consulting

 Tilstone Partners Limited                                      +44 (0) 1244 470 090

 Simon Hope, Peter Greenslade, Jo Waddingham

 G10 Capital Limited (part of the IQEQ Group), AIFM              +44 (0) 20 7397 5450

 Maria Baldwin

 FTI Consulting (Financial PR & IR Adviser to the Company)

 Dido Laurimore, Richard Gotla, Oliver Parsons                  +44 (0) 20 3727 1000

 

Further information on Warehouse REIT is available on its website:
http://www.warehousereit.co.uk (http://www.warehousereit.co.uk)

 

Notes

Warehouse REIT is UK Real Estate Investment Trust that invests in UK
warehouses, focused on multi-let assets in industrial hubs across the UK.

 

We provide a range of warehouse accommodation in key locations which meets the
needs of a broad range of occupiers.  Our focus on multi-let assets means we
provide occupiers with greater flexibility so we can continue to match their
requirements as their businesses evolve, encouraging them to stay with us for
longer.

 

We invest in our business by selectively acquiring assets with potential and
by delivering opportunities we have created. Through pro-active asset
management we unlock the value inherent in our portfolio, helping to capture
rising rents and driving an increase in capital values to deliver strong
returns for our investors over the long term.  Sustainability is embedded
throughout our business, helping us meet the expectations of our stakeholders
today and futureproofing our business for tomorrow.

 

The Company is an alternative investment fund ("AIF") for the purposes of the
AIFM Directive and as such is required to have an investment manager who is
duly authorised to undertake the role of an alternative investment fund
manager ("AIFM"). The AIFM and the Investment Manager is currently G10 Capital
Limited (Part of the IQEQ Group).

 

 

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