25th Feb 2019 14:33
LONDON (Alliance News) - Urban Logistics REIT PLC said on Monday it has agreed to acquire and forward fund two logistics assets in Staffordshire and Leicestershire for a gross development value of GBP15.4 million.
The first property will be built in Stone Business Park in Staffordshire, and comprises four logistics units with a gross internal floor area of 86,000 square feet.
The second will be constructed in Lime Kilns Business Park in Hinckley, Leicestershire, which will be made up of two units with a gross internal floor area of 63,000 square feet.
The construction of both assets is expects to start in June, and Urban Logistics is set to benefit from a 6.0% interest rate coupon on the forward funding provided. Completion of the Stone and Lime Kilns assets have been targeted for the end of 2019 and January 2020, respectively.
"These acquisitions will add high quality new assets to the company's portfolio at a time when smaller urban logistics sites are in short supply. We have experienced strong interest from prospective tenants and expect to be fully pre-let by the time both assets reach practical completion," said Chief Executive Richard Moffitt.
Shares in Urban Logistics were down 1.2% at 119.00 pence on Monday.
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