Warehouse REIT to acquire industrial development in Oxfordshire

Real estate investment trust Warehouse REIT has exchanged contracts to acquire a 170,000 square foot multi-let industrial development in Oxfordshire via a forward funding agreement.

Warehouse REIT said on Monday that it had agreed to purchase the asset, which will be delivered by W Lamb, Blakelands, and Westhall Estates, for a fixed total price of £35.0m.

The AIM-listed firm stated the scheme, which has just secured detailed planning permission and was scheduled to practically complete in December, comes with a 12-month rent guarantee that will show a running yield in excess of 4.6% based on the acquisition cost.

Warehouse REIT added that the 10.6-acre site was strategically located 15 miles east of Oxford and adjacent to the A329, 2.5 miles from Junction 7 of the M40, which connects directly to London and Birmingham.

As of 1035 GMT, Warehouse REIT shares were down 1.34% at 161.60p.