Tritax Big Box sells logistics building to Howden Joinery

Tritax Big Box REIT announced the sale of an investment asset let to Howdens.

The £84.3m sale to the institutional real estate investor was in line with its December 2022 and June 2023 valuations for a net initial yield of 4.0%.

"The disposal, which was in line with the book value at both December 2022 and June 2023, demonstrates the attractiveness of our assets and our ability to fully realise their value," said Colin Godfrey, Tritax's chief executive officer.

"The sale to a leading institutional investor in real estate provides further evidence of growing stabilisation within the UK investment market and the strong fundamentals of the sector."

The 659,000 square foot logistics building at Raunds was one of three developed and built for Howdens Joinery.

It had an unexpired lease term at exchange of roughly 23 years.

At 0952 BST, shares of Tritax were advancing 1.40% to 137.30p.