LXi REIT plc is a new closed-ended fund established to deliver inflation-protected income and capital growth over the medium-term for shareholders through investing in a diversified portfolio of UK property, that benefits from very long-term (typically, 20 to 30 years to expiry or first break) index-linked leases with institutional grade tenants. LXi REIT will not undertake any direct development activity nor assume direct development risk.


Company Website

LXI Investor Relations

Recent Broker notes

BarChart Indicators

Recent RNS notices

LXI Reit Fundamentals (LXI)

.

Brooks Macdonald Group plc 9.52%

Acquisition


The Board of LXi REIT plc (ticker: LXI) is pleased to announce that:

(1) the Company has exchanged contracts to forward purchase the new Premier Inn hotel and Beefeater restaurant currently under construction at Spanish City Promenade, Whitley Bay, North Tyneside (the "Premier Inn Property"); and

(2) the Company has now completed on the acquisitions of the GE Oil & Gas facility at Cramlington, Northumberland and the Travelodge hotel at Haverhill, Essex, the exchanges of which were announced on 10 March 2017 and 22 March 2017, respectively.

The acquisitions are being funded from equity resources, with senior debt finance expected to be introduced in the near term.

Premier Inn hotel and Beefeater restaurant, Whitley Bay

The purchase price for the Premier Inn Property is £6.26 million (excluding purchaser's costs), reflecting a net initial yield of 5% on the asset acquisition.

The Company has paid the vendor a 10% deposit with the balance of the price to be paid on completion of the purchase. Completion of the purchase will occur following practical completion of the building works, which is scheduled for early June 2017. The Company is not assuming development risk or funding the construction works.

The hotel and restaurant have both been fully pre-let to Premier Inn Hotels Limited, the principal hotel trading company of Whitbread PLC, a FTSE 100 company with a market capitalisation of £7 billion and the UK's largest hotel, restaurant and coffee shop operator, with more than 68,000 hotel rooms across over 750 hotels.

The lease, which covers both the hotel and restaurant, will run for a term of 25 years from completion of the building works, with a one-off tenant break right at the end of year 20. The rent is subject to five yearly upward only reviews index-linked to the Consumer Price Index (collared and capped at 0% p.a. and 4% p.a. compounded).

The Premier Inn Property is being purpose-built for the tenant and will comprise of a three storey, 68 bedroom hotel and adjoining single-storey 190 cover Beefeater restaurant.

The Premier Inn Property is well located at Spanish City Promenade in Whitley Bay, a seaside town on the north-east coast in the County of Tyne and Wear, approximately eight miles east of Newcastle. It is situated at the southern end of Whitley Bay beach, overlooking the beach and promenade and immediately adjacent to the historic Spanish City Dome.

Simon Lee, Partner of LXi REIT Advisors Limited, commented:

"We are pleased to be forward purchasing this new Premier Inn hotel and Beefeater restaurant at an attractive yield. The hotel and restaurant sectors are performing very well and the property, which represents our fifth acquisition since listing on 27 February, will provide the Company with a very long, inflation-linked income fully underpinned by the strong Premier Inn covenant. We are also at an advanced stage on the acquisition of a number of additional forward funding and built assets, across a wide range of property sectors, which meet the Company's investment objective and which should exchange shortly."

Acquisition

ACQUISITION OF THE CAMBRIDGE BELFRY HOTEL, CAMBOURNE, CAMBRIDGE AND COMPLETION OF THE ACQUISITION OF THE Q-PARK CAR PARK, ROCKINGHAM STREET, SHEFFIELD

The Board of LXi REIT plc (ticker: LXI) is pleased to announce that the Company has acquired the Cambridge Belfry Hotel at Cambourne, Cambridge (the "Property"). The purchase price for the Property is £18.53 million, reflecting a net initial yield of 6.1% on the asset acquisition (net of acquisition costs to the Company).

The Property is fully let to Marstons Hotels Limited and guaranteed by its parent, QHotels Holdings Limited ("QHotels"). QHotels is a four star hotelier, founded in 2003, that has since grown to 26 hotels with over 3,650 bedrooms across the UK and with net assets of £360 million.

The lease has an unexpired term of over 22 years (expiring in May 2039), without a break, and is subject to five yearly upward only rent reviews index-linked to the Consumer Price Index (collared and capped at 1% p.a. and 4% p.a. compound). The next rent review is due in June 2019.

Purpose-built in 2004 and recently refurbished, the Property comprises a modern, four star hotel with 120 bedrooms, along with extensive leisure and business facilities, including a bar, restaurant, eight conference and meeting rooms, indoor swimming pool, gym, sauna, steam room and treatment rooms. The Property occupies a large 8.3 acre freehold plot, with 250 car parking spaces.

The hotel is well located in Cambourne, which is approximately eight miles directly west of Cambridge city centre. It is situated within the 750,000 sq ft Cambourne Business Park, home to numerous large corporates including Citrix, Global Graphics, Convergys, Regus and IP Access.

The hotel attracts a good mix of both leisure and business guests, visiting Cambridge itself and the surrounding areas.

The Board is pleased to announce that the Company has now also completed on the acquisition of the Q-Park car park at Rockingham Street, Sheffield, the exchange of which was announced on 10 March 2017.

The acquisitions are being funded from equity resources, with senior debt finance expected to be introduced in the near term.

Progress to Date

In the two months since Admission on 27 February 2017, the Company has now invested or contractually committed 50% of its net equity across six properties at a blended net initial yield of 5.65%, with a weighted average unexpired lease term to first break of over 23 years and diversified across a wide range of strong tenants, sub-sectors and locations.

The Company is also at an advanced stage on the acquisition of a number of additional pre-let forward funding and built assets, which are expected to exchange shortly.

Simon Lee, Partner of LXi REIT Advisors Limited, commented:

"We are pleased to have acquired the Cambridge Belfry Hotel, which is our sixth acquisition since the Company's Admission on 27 February 2017. In addition to benefitting from a long, index-linked lease to a strong tenant covenant, the hotel trades strongly and is in a sought-after Cambridge location and, as a result, its vacant possession value is in excess of the purchase price.

The net initial yield of 6.1% will be accretive to our portfolio running yield and the next five yearly index-linked rent review in June 2019 presents an opportunity for further enhancement to the future dividend yield of the Company."

£9.3M ACQUISITION OF THE SIG MANUFACTURING FACILITY, CARLISLE

The Board of LXi REIT plc (ticker: LXI) is pleased to announce that the Company has acquired the SIG manufacturing facility at Welton, Carlisle (the "Property") in a sale and leaseback transaction. The purchase price for the Property is £9.3 million, reflecting a net initial yield of 7.0% (net of acquisition costs to the Company).

The Property has been acquired with a new 25-year lease in place and is fully let to SIG (Trading) Limited, the principal trading company of the SIG plc group ("SIG"), a leading, multinational manufacturer and distributor of specialist building and energy management products in the UK and Europe. SIG is a FTSE 250 listed company with a market capitalisation of over £900 million.

The new 25-year lease (with no tenant break right) expires in May 2042 and is subject to five yearly upward only rent reviews index-linked to the Retail Price Index (collared and capped at 2% p.a. and 4% p.a. compound).

The Property comprises a substantial manufacturing facility of 248,333 sq ft, on a 15 acre freehold site (providing a low site coverage of 38%), which is used for the manufacture of profiled metal roofing and other cladding elements. The Property includes a new high specification 89,000 sq ft cladding production facility, constructed in March 2016, along with a range of other factory units as well as storage and office facilities that have been built over the past 20 years. The Property has benefited from significant capital investment by the tenant.

The Property is located in Welton, to the south of Carlisle, with close proximity to the M6. Carlisle is the main administrative centre of Cumbria and benefits from excellent road and rail connectivity.

The acquisition is being funded from equity resources, with senior debt finance expected to be introduced in the near term.

The Company now qualifies formally for REIT status, having acquired a sufficient number of built assets, in addition to forward fundings and forward commitments.

£8.4M ACQUISITION OF THE PRIORY CARE HOME, LEEDS

The Board of LXi REIT plc (ticker: LXI) is pleased to announce that the Company has exchanged contracts to acquire the Priory Care Home, Leeds (the "Property") for £8.4 million, reflecting a net initial yield of 6.3% (net of acquisition costs to the Company).

The Property is fully let to Priory Elderly Care Limited and guaranteed by its parent company, Priory Investments Holdings Limited ("the Priory Group"), a leading provider of mental health and elderly care services. The Priory Group is ultimately owned by NASDAQ-listed Acadia Healthcare which has a market capitalisation of $4 billion and operates a network of over 570 facilities with over 17,000 beds.

The lease has an unexpired term of just under 23 years (expiring in March 2040), without a break, and is subject to annual upward only rent reviews index-linked to the Retail Price Index (collared and capped at 2% p.a. and 5% p.a. compound). The next rent review is due in March 2018.

Purpose-built as a care home in 2010, the Property spans three storeys with 75 en-suite bedrooms. It is well-located, approximately two miles to the east of Leeds city centre, in a predominantly residential area within the suburb of Osmondthorpe.

The acquisition is being funded from equity resources, with senior debt finance expected to be introduced in the near term. Completion is due to occur within the next week.

John White, Partner of LXi REIT Advisors Limited, commented:

"We are pleased to have acquired the Priory Care Home, Leeds, which provides the Company with an attractive net initial yield of 6.3% and a long, secure income stream with rare annual RPI rent reviews. This acquisition, our tenth since IPO, means that the Company now has 12 strong tenants with exposure to six distinct sub-sectors and has deployed 80% of its net equity."

£3.2M ACQUISITION OF A LONG-LET SUPPORTED LIVING PORTFOLIO

The Board of LXi REIT plc (ticker: LXI) is pleased to announce that the Company has completed the acquisition of the freehold interest in a portfolio of regulated long-let supported living properties located in Kent, West Sussex and Gloucestershire (the "Portfolio").

The purchase price for the Portfolio is £3.2 million, reflecting a net initial yield of 6.0% (net of acquisition costs to the Company).

Each property is immediately income producing and has been let on a new 25 year lease, with no tenant break, to a specialist Registered Provider of social housing. The Registered Provider is regulated by the Homes and Communities Agency and receives its funding for the rent payments directly from the relevant local authority.

Each lease is subject to annual upward-only rent reviews index-linked to the Consumer Price Index (uncapped) and the Registered Provider is responsible for the costs of repair, maintenance, insurance and outgoings.

The properties in the Portfolio comprise specialist, high quality supported living homes for individuals with physical and/or mental disabilities or other care needs.

The acquisition has been funded from equity resources, with senior debt finance expected to be introduced in the near term.

John White, Partner of LXi REIT Advisors Limited, commented:

"This supported living portfolio, which follows the Company's recent acquisition of a similar portfolio across different locations, provides the Company with an attractive 6.0% net initial yield underpinned by unbroken 25 year, index-linked leases to a Registered Provider of social housing, and offers vulnerable adults high quality, long-term, safe and attractive community living environments.

We are in solicitors' hands on a number of additional acquisitions, which will fully absorb the balance of the Company's net equity in short order."

£5.0 MILLION ACQUISITION OF TRAVELODGE HOTEL AND BURGER KING AND LITTLE CHEF RESTAURANTS AT NEEDHAM MARKET, SUFFOLK

The Board of LXi REIT plc (ticker: LXI) is pleased to announce that the Company has exchanged contracts to acquire the Travelodge hotel and Burger King and Little Chef restaurants at Needham Market service station, Ipswich, Suffolk (the "Property"). The purchase price for the Property is £5.0 million, reflecting a net initial yield of 6.12% on the asset acquisition (net of acquisition costs).

The hotel and both restaurants are fully let to Travelodge Hotels Limited, the principal trading company of the Travelodge group, the UK's largest independent hotel brand, with more than 520 hotels and over 38,000 guest bedrooms, across the UK, Ireland and Spain.

The lease has an unexpired term of over 20 years (expiring in October 2037), without a break, and is subject to five yearly upward only rent reviews index-linked to the Retail Prices Index, with a high collar and cap of 3% p.a. and 7.5% p.a. compound. The next rent review is due in January 2020.

The Property comprises a purpose-built 40 bedroom hotel, a standalone 4,045 sq ft restaurant unit and parking for 81 cars and forms part of a roadside service station which includes a separately owned Shell petrol filling station. The Property is strategically located at the busy junction of the A14 and A140, approximately seven miles north west of Ipswich in Suffolk.

The acquisition is being funded from equity resources, with senior debt finance to be introduced in the near term. Completion is due to occur in the next few weeks.

Simon Lee, Partner of LXi REIT Advisors Limited, commented:

"This acquisition provides the Company with additional long-term, secure and RPI-linked income with an unusually attractive rent review collar of 3% pa and cap of 7.5% pa, offering significant rental growth in both high and low inflationary environments. The net initial yield of 6.12% is accretive to our portfolio running yield and will rise to at least 7.10% at the January 2020 rent review on the basis of just the minimum 3% pa rental uplift."

Forward funded pre-let investment

£6.1 MILLION FORWARD FUNDED PRE-LET INVESTMENT IN A NEW TRAVELODGE HOTEL, COSTA COFFEE SHOP AND KFC RESTAURANT DEVELOPMENT IN CAMBORNE, CORNWALL

The Board of LXi REIT plc (ticker: LXI) is pleased to announce that it has exchanged contracts to provide forward funding for the development of a new Travelodge hotel, drive-through Costa coffee shop and drive-through KFC restaurant (the "Property") in Camborne, Cornwall.

The development represents an investment of £6.1 million, reflecting a net initial yield of 6.15% on the asset acquisition (net of acquisition costs to the Company).

Upon practical completion, which is targeted for May 2018, the new development will comprise of:
· a 63 bedroom hotel pre-let to Travelodge Hotels Limited, the principal trading company of the Travelodge group, the UK's largest independent hotel chain with more than 520 hotels and over 38,000 guest bedrooms. This will account for 71% of the total rental income of the Property on a new 25 year lease (with no tenant break right), subject to five yearly upward only, CPI-linked rent reviews (collared and capped at 0% p.a. and 4% p.a. compound);

· a 1,800 sq ft drive-through coffee shop pre-let to Costa Limited, a subsidiary of Whitbread PLC, a FTSE 100 company with a market capitalisation of £7.1 billion. Costa is a leading operator of coffee shops, with 2,861 outlets across 30 countries. This will account for 12% of the total rental income of the Property on a new 10 year lease (with no tenant break right), subject to five yearly upward only open market rent reviews (capped at 3% pa compound); and

· a 2,950 sq ft drive-through restaurant pre-let to a leading KFC franchisee. This will account for 17% of the total income of the Property on a new 20 year lease (with a break right at year 10), with upward only open market rent reviews.

The Property is well located directly fronting the A3047 Tolvaddon Road, 100 metres from the main A30 arterial highway. Camborne and nearby Poole and Redruth combine to form Cornwall's largest conurbation and Camborne plays an important role to the wider catchment of the peninsula in providing housing, retailing and leisure facilities.

The three tenant pre-lets have exchanged, full planning permission is in place and the Company is acquiring the land and forward funding on a fixed-price basis. The developer will pay the Company a licence fee during the construction period.

The Company is not developing the site or assuming development risk. The acquisition is being funded from equity resources, with senior debt finance to be introduced in the near term.

John White, Partner of LXi REIT Advisors Limited, commented:

"We are pleased to provide the forward funding for this attractive long-let hotel and leisure development asset with a compelling initial yield, pre-let to tenants with strong covenants, and which adds further geographic diversification to the current portfolio."

£2.1 MILLION ACQUISITION OF A LONG-LET SUPPORTED LIVING PORTFOLIO

The Board of LXi REIT plc (ticker: LXI) is pleased to announce that the Company has completed the acquisition of the freehold interest in a portfolio of regulated long-let supported living properties located in Greater Manchester, Lancashire and Merseyside (the "Portfolio").

The purchase price for the Portfolio is £2.1 million, reflecting a net initial yield of 6.0% (net of acquisition costs to the Company).

Each property is immediately income producing and has been let on a new 25-year lease, with no tenant break, to a specialist Registered Provider of social housing. The Registered Provider is regulated by the Homes and Communities Agency and receives its funding for the rent payments directly from the relevant local authority.

Each lease is subject to annual upward-only rent reviews index-linked to the Consumer Prices Index (uncapped) and the Registered Provider is responsible for the costs of repair, maintenance, insurance and outgoings.

The properties in the Portfolio comprise specialist, high quality supported living homes for individuals with physical and/or mental disabilities or other care needs.

The acquisition has been funded from equity resources, with senior debt finance to be introduced in the near term.

Acquisition

ACQUISITION OF THREE PRIORY GROUP CARE HOMES IN NORTHERN IRELAND FOR £14.9 MILLION

The Board of LXi REIT plc (ticker: LXI) is pleased to announce that the Company has acquired the freehold interest in two Priory Group care homes in Northern Ireland and exchanged contracts to acquire a third Priory Group care home (the "Properties") for a total portfolio consideration of £14.9 million, reflecting a net initial yield of 6.5% (net of acquisition costs to the Company).

Each of the Properties is fully let or pre-let to companies within the Priory Group, a leading provider of mental health and elderly care services. The Priory Group is ultimately owned by NASDAQ-listed Acadia Healthcare which has a market capitalisation of $4 billion and operates a network of over 570 facilities with over 17,000 beds.

The leases have a weighted average unexpired term of 29 years, without a break, and are subject to fixed annual rental uplifts of 2.5% p.a. compound.

The Properties are located in Armagh and Newtonabbey, in Northern Ireland, and comprise modern, purpose-built care homes for individuals with mental and/or physical disabilities. The Newtonabbey property comprises a newly built facility with 36 bedrooms, which opened in February 2017. The Armagh property ("Armagh 1") comprises a recently built facility with 30 bedrooms, which opened in 2012.

The third property ("Armagh 2") will form an extension to Armagh 1 and will comprise 34 bedrooms. Armagh 2 has been fully pre-let (as described above), detailed planning consent is in place and construction works have commenced, with practical completion scheduled for Q1 2018. The Company has paid the vendor a 10% deposit for Armagh 2, with the balance of the price to be paid on completion of the purchase. The Company is not developing the site or funding the construction works and is not assuming development risk.

John White, Partner of LXi REIT Advisors Limited, commented:
"We are pleased to have acquired three modern Priory Group care homes in Northern Ireland, which provide the Company with an attractive net initial yield of 6.5% and a secure 29 year income stream with guaranteed annual rental uplifts. This is the Company's first acquisition in Northern Ireland and further geographically diversifies our portfolio with an accretive net initial yield."

Acquisition

£9.2 MILLION ACQUISITION OF A LONG-LET SUPPORTED LIVING PORTFOLIO

The Board of LXi REIT plc (ticker: LXI) is pleased to announce that the Company has completed the acquisition of the freehold interest in a portfolio of regulated long-let supported living properties located in Essex and Somerset (the "Portfolio").

The purchase price for the Portfolio is £9.2 million, reflecting a net initial yield of 6.0% (net of acquisition costs to the Company).

Each property is immediately income producing and has been let on a new 25-year lease, with no tenant break, to a specialist Registered Provider of social housing. The Registered Provider is regulated by the Homes and Communities Agency and receives its funding for the rent payments directly from the relevant local authority.

Each lease is subject to annual upward-only rent reviews index-linked to the Consumer Prices Index (uncapped) and the Registered Provider is responsible for the costs of repair, maintenance, insurance and outgoings.

The properties in the Portfolio comprise specialist, high quality supported living homes for individuals with physical and/or mental disabilities or other care needs.

The acquisition is being funded from the Company's Scottish Widows debt facility.

Acquisition

£5.7 MILLION ACQUISITION OF MOTORPOINT CAR SHOWROOM, LANCASHIRE

The Board of LXi REIT plc (ticker: LXI) is pleased to announce that the Company has acquired the Motorpoint car showroom in Burnley, Lancashire (the "Property"). The purchase price for the Property is £5.7 million, reflecting a net initial yield of 6.5% (net of acquisition costs), which is expected to rise to over 7.0% following next year's five yearly RPI-linked rent review.

The Property is fully let to Motorpoint Limited, the principal trading company of Motorpoint plc, a London Stock Exchange listed company which is the UK's largest independent vehicle retailer.

The lease has an unexpired term of just under 20 years (expiring in June 2037), without a break, and is subject to five yearly upward only rent reviews index-linked to the Retail Prices Index, with a collar and cap of 1% p.a. and 3% p.a. compound. The next rent review is due in September 2018.

The Property comprises a substantial car showroom facility, with extensive vehicle display and compound storage on an 8.6 acre freehold site. Internally, the main facility provides for a large customer area including a reception, sales area, offices and café. The remainder of the site provides for approximately 400 display vehicles. There are two further buildings used for the preparation, valeting and repair of vehicles.

The Property is strategically located fronting the M65 motorway in Burnley, Lancashire and the surrounding area comprises a mix of industrial and residential uses.

The acquisition is being funded from the Company's Scottish Widows debt facility.

Simon Lee, Partner of LXi REIT Advisors Limited, commented:

"This acquisition provides the Company with additional long-term, secure and RPI-linked income at an attractive yield and further diversifies its sector exposure. The property benefits from a strong residual value and is one of the tenant's top trading locations."

Issue of Equity

Q3 factsheet

Result of Equity Issue

£18.9 MILLION ACQUISITION OF A LONG-LET SUPPORTED LIVING PORTFOLIO

The Board of LXi REIT plc (ticker: LXI) is pleased to announce that the Company has exchanged contracts on the acquisition of the freehold interest in a portfolio of regulated long-let supported living properties located in Greater London (50%), Devon (30%), Surrey (14%), Essex (4%) and Northampton (2%) (the "Portfolio"). The purchase price for the Portfolio is £18.9 million, reflecting a net initial yield of 6.0% (net of acquisition costs to the Company).

Each property is immediately income producing and has been let on a new 35-year lease, with no tenant break, to a specialist Registered Provider of social housing. The Registered Provider is regulated by the Homes and Communities Agency and receives its funding for the rent payments directly from the relevant local authority.

Each lease is subject to annual upward-only rent reviews index-linked to the Consumer Prices Index (uncapped) and the Registered Provider is responsible for the costs of repair, maintenance, insurance and outgoings.

The properties in the Portfolio comprise specialist, high quality supported living homes for individuals with physical and/or mental disabilities or other care needs.

The acquisition is being funded from equity resources following the Company's second issue of shares on 12 October, with senior debt finance expected to be introduced in the near term.

Completion of the acquisition is due to occur in the next few days.

ACQUISITION OF TWO SEPARATE PORTFOLIOS OF CARE HOMES AND SUPPORTED LIVING PROPERTIES FOR A TOTAL OF £30.3 MILLION

The Board of LXi REIT plc (ticker: LXI) is pleased to announce the acquisition of two separate portfolios of care homes and supported living properties for a total consideration of £30.3 million.

Each of the portfolio acquisitions is being funded from equity resources following the Company's second issue of shares on 12 October, with senior debt finance expected to be introduced in the near term.

Acquisition of 31-year let care home portfolio for £28.5 million at 6.5% NIY

The Company has acquired the freehold interest in five modern, purpose-built care homes in Leicestershire and Lincolnshire (the "Properties") for a total consideration of £28.5 million, reflecting a net initial yield of 6.5% (net of acquisition costs to the Company).

Each of the Properties, benefiting from very high occupancy levels, is fully let to Prime Life, an established Care Quality Commission-regulated care operator which provides specialist facilities and services for elderly care, high dependency dementia and also for younger residents with learning disabilities, mental illnesses and physical disabilities. Prime Life is a family-owned business, with over 30 years' experience and currently operates over 1,800 beds across 60 homes in the UK.

The leases are immediately income producing and have an unexpired term of 31 years (expiring November 2048), without a break, and are subject to annual upward-only reviews index-linked to the Retail Prices Index (collared and capped at 2% p.a. and 3.5% p.a. compound).

Acquisition of 25-year let supported living portfolio for £1.8 million at 6.0% NIY

The Company has completed the acquisition of the freehold interest in a portfolio of regulated long-let supported living properties located in Lancashire and Yorkshire (the "Portfolio"). The purchase price for the Portfolio is £1.8 million, reflecting a net initial yield of 6.0% (net of acquisition costs to the Company).

Each property is immediately income producing and has been let on a new 25-year lease, with no tenant break, to a specialist Registered Provider of social housing. The Registered Provider is regulated by the Homes and Communities Agency and receives its funding for the rent payments directly from the relevant local authority.

Each lease is subject to annual upward-only rent reviews index-linked to the Consumer Prices Index and the Registered Provider is responsible for the costs of repair, maintenance, insurance and outgoings.

The Company has also now completed the acquisition of the £18.9 million 35-year let supported living portfolio, the exchange of which was announced on 16 October.

Simon Lee, Partner of LXi REIT Advisors Limited, commented:

"The Company has now deployed 92% of the net proceeds of its second issue of shares announced on 12 October 2017 and we are in solicitors' hands on further acquisitions which will fully absorb the outstanding balance of the fundraise in the next few weeks.

Since the Company's IPO on 27 February 2017, the Company has deployed a total of £234 million of equity and debt capital across 29 acquisitions at an average net initial yield of 6.0% and with a weighted average unexpired lease term to first break of over 24 years."

Acquisition, full deployment of funds, and update

ORWARD FUNDED PRE-LET INVESTMENT AND FULL DEPLOYMENT OF SECOND EQUITY ISSUE AND PORTFOLIO UPDATE

The Board of LXi REIT plc (ticker: LXI) is pleased to announce that the Company has exchanged contracts on the pre-let forward funded acquisition of a new Premier Inn hotel in the East Midlands and has now fully deployed the net proceeds of its second equity issue of £60.2 million of 12 October 2017.

£6.9 million forward funded acquisition of 25-year pre-let Premier Inn hotel, East Midlands

The Company has exchanged contracts on the pre-let forward funding acquisition of a new Premier Inn hotel in the East Midlands (the "Property"). The total funding commitment is £6.9 million, reflecting a net initial yield of 5.20% (net of acquisition costs to the Company).

The Property has been fully pre-let to Premier Inn Hotels Limited, the principal hotel trading company of Whitbread PLC, a FTSE 100 company with a market capitalisation of £6.6 billion and the UK's largest hotel, restaurant and coffee shop operator. Whitbread Group PLC is the tenant's guarantor under the terms of the lease.

The lease will run for a term of 25 years from completion of the building works, with no tenant break right. The rent is subject to five yearly upward only reviews index-linked to the Consumer Prices Index (collared and capped at 0% p.a. and 4% p.a. compound).

Full planning consent has been granted, the tenant pre-let has exchanged and the Company is acquiring the land and forward funding on a fixed-price basis. The developer will pay the Company a licence fee during the construction period. The Company is not developing the site or assuming development risk. Completion of the purchase is due to occur in the next few weeks.

The acquisition is being funded from equity resources following the second issue of shares on 12 October 2017, with senior debt finance expected to be introduced in the near term.

Full deployment of second equity issue of 12 October and update on Company portfolio

Following the Premier Inn forward funding acquisition referred to above, the Company has now fully deployed the net proceeds of its £60.2 million second equity issue of 12 October 2017. The headline statistics for the Company's total portfolio acquired since IPO on 27 February 2017 are:
· £241 million of equity and debt capital deployed (excluding acquisition costs)

· Attractive average net initial property yield of 6.0%

· Long weighted average unexpired lease term to first break of 24 years

· 97% of the income is index-linked or contains fixed uplifts

· Assets are diversified across eight robust sectors: hotels (25%), supported living (24%), care homes (22%), industrial (9%), car parks (8%), discount retail (6%), leisure (4%) and automotive (2%)

· Rental income is secured against 19 strong tenants, including Aldi, Costa Coffee, General Electric, Home Bargains, Lidl, Motorpoint, Premier Inn, Prime Life, The Priory Group, Q-Park, SIG, Specialist Housing Associations, Starbucks and Travelodge

· Significant geographic diversification across 18 different counties in the UK

· The properties have been acquired, predominantly off-market, via 30 separate purchase transactions, with an average lot size of £8 million and a good mix of pre-let forward funding, forward commitment and built asset structures

£1.4 MILLION ACQUISITION OF A LONG-LET SUPPORTED LIVING PORTFOLIO, GREATER LONDON

The Board of LXi REIT plc (ticker: LXI) is pleased to announce that the Company has acquired the freehold interest in a portfolio of regulated long-let supported living properties located in Greater London (the "Portfolio"). The purchase price for the Portfolio is £1.4 million, reflecting a net initial yield of 6.0% (net of acquisition costs to the Company).



Each property is immediately income producing and has been let on a new 35-year lease, with no tenant break, to a specialist Registered Provider of social housing. The Registered Provider is regulated by the Homes and Communities Agency and receives its funding for the rent payments directly from the relevant local authority.



Each lease is subject to annual upward-only rent reviews index-linked to the Consumer Prices Index and the Registered Provider is responsible for the costs of repair, maintenance, insurance and outgoings.



The properties in the Portfolio comprise specialist, high quality supported living homes for individuals with physical and/or mental disabilities or other care needs.



John White, Partner of LXi REIT Advisors Limited, commented:

"This supported living portfolio provides the Company with an attractive 6.0% net initial yield underpinned by unbroken 35-year, index-linked leases, with strong underlying residential values."