1st Apr 2019 11:58
LONDON (Alliance News) - Warehouse REIT PLC said on Monday it has agreed to acquire an industrial unit in Wakefield in West Yorkshire, UK, for GBP4.2 million, reflecting a net initial yield of 6.3%.
The 53,000 square feet unit in the Wakefield 41 industrial estate was acquired by the warehouse investor through a sale and leaseback to car tyre distributor Stapleton's Tyre Services Ltd.
Stapleton's agreed to a new 15-year lease, generating GBP281,000 per annum with rent reviews and tenant-only break options a years five and ten.
The acquisition follows Warehouse REIT's fundraise of GBP76.5 million on Friday through the issue of 74.3 million shares at 103 pence each, which would go towards investing in near-term opportunities within its pipeline.
"The Stapleton's unit in Wakefield satisfies a long-standing requirement to bolster our holding on the M62, which is increasingly becoming an important location for ecommerce and traditional logistics operators. We look forward to further developing our relationship with the occupier being a key part of our asset management offer," said Andrew Bird, managing director of Tilstone Partners Ltd.
Shares in Warehouse REIT were flat at 103.00 pence on Monday.
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