Tuesday 7th Apr 2020 - Logistics Manager Magazine

LondonMetric sells four warehouses for £145.3m

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LondonMetric Property has sold two mega box sheds and two regional distribution warehouses in Yorkshire and Nottinghamshire for a combined value of £145.3 million.

The FTSE 250-listed REIT has sold a 726,000 sq ft warehouse in Newark to an international investor for £80.8m. The asset will be let to Dixons Carphone for a further 14 years.

Two warehouses in Doncaster – comprising of a 330,000 sq ft shed, and a 176,000 sq ft regional warehouse – were sold to an overseas buyer for £51.2m.

Finally, a 152,000 sq ft regional distribution warehouse in Rotherham has been sold to a global investor for £13.3 m.

The warehouse was acquired in 2014 for £10.3 million and is let to the Royal Mail for a further eight years at a rent of £4.70 per sq ft.

Andrew Jones, chief executive of LondonMetric, said: “We have taken the opportunity to respond to global investor demand for distribution warehousing to monetise some of our larger assets in geographies where we expect income growth to be more muted.

“The sales further improve the income diversification of our largest occupiers and provides headroom to invest further into urban logistics, which continues to offer superior income growth prospects.”