|
LondonMetric Property PLC on Wednesday said it is buying six single let urban logistics properties from a FTSE 100 pension fund. The London-based real estate investor said the purchase price of £78.0 million reflects a blended net initial yield of 5.8% which rises to 6.9% over the next two years. Chief Executive Officer Andrew Jones said: ‘This was a very rare opportunity to acquire, off market, a high quality portfolio which is immediately earnings accretive. ‘The well located, mission critical assets, offer an attractive mix of near term income growth and value-enhancing asset management opportunities. Logistics remains our strongest conviction thematic and now accounts for over 45% of our total portfolio.’ The portfolio generates income of £4.8 million per year with an average rent of £9.2 per square foot. LondonMetric expects this to rise by 21% to £5.8 million and £11.10 per square foot over the next two years. Separately, the company announced it sold a further office asset in Edinburgh for £6.0 million. LondonMetric shares were 0.2% higher at 206.00 pence each on Wednesday morning in London. Copyright 2024 Alliance News Ltd. All Rights Reserved.
|
