Warehouse REIT portfolio surpasses 8.5m square feet

Real estate investment trust Warehouse REIT said on Wednesday that it had completed four acquisitions since 25 May for a total consideration of £13.1m, reflecting a blended net initial yield of 5.0%.

Warehouse REIT said the acquisitions, which generated £700,000 of contracted rent per annum, had taken the company's portfolio past 8.5m square foot and had also increased its holdings in two existing key locations - South Cambridge and Midpoint-18, Cheshire.

In addition, contracts were exchanged to acquire a further 16 acres of land immediately adjoining the existing Radway Green multi-let estate located at junction 16 on the M6 motorway, outside Crewe.

The FTSE 250-listed company also completed 20 new lettings during the period, achieved at 7.0% ahead of 31 March 2021 enterprise retail values and generating another £700,000 of contracted rent.

13 lease renewals were also completed, achieving an uplift of 20.2% compared to the previous rent and bringing in another £600,000 per annum of contracted rent.

Warehouse REIT said its portfolio's total occupancy decreased slightly to 94.2% as of 31 July from 95.6%, however effective vacancy also reduced to just 2.0%, excluding units under refurbishment or under offer to let.

As of 0920 BST, Warehouse REIT shares were up 2.00% at 163.60p.