Significant Lettings Progress

For release 2 March 2020

Schroder Real Estate Investment Trust Limited("SREIT"/ the "Company" / "Group")

SIGNIFICANT LETTINGS PROGRESS

Schroder Real Estate Investment Trust, the actively managed UK-focused REIT, provides an update on asset management activity.

Since 1 January, 16 new lettings, renewals and rent reviews have completed, generating additional income of approximately £370,000 per annum. The Company is currently actively progressing a number of other lettings which are currently under offer that have the potential to generate additional annualised income of £420,000 per annum.

Manchester, City Tower (mixed-use, £ figures below represent SREIT’s 25% share)

Agreement for lease exchanged for a new ten year lease to Coalfire Systems, a US based Cyber Risk Management advisor, for 5,500 sq ft situated on the 28th floor at £26 per sq ft, equating to £35,529 per annum. The tenant will receive twelve months rent free, with a further three months if the break is not exercised in the fifth year. The rent is in-line with the Estimated Rental Value (“ERV”) as at 30 December 2019. New short-term lease completed to Sheppard Robson, an architectural firm, for 2,160 sq ft on 27th floor at £29.50 per sq ft equating to £15,900 per annum. This compared with an ERV of £12,125 per annum. No rent free incentive was granted. Following the recent letting to Lidl at City Tower good progress is being made letting the ancillary retail and leisure. For example, a new ten year letting has been completed with Triple Two Coffee for a 1,660 sq ft retail unit at a rent of £17,500 per annum versus an ERV of £16,475 per annum in return for 9 months rent free.

Norwich, Union Park (multi-let industrial estate)

Agreement for lease exchanged for a new ten year term to Quentor Limited, a motorsport manufacturer, for a 39,935 sq ft unit at a stepped rent rising from £181,125 per annum (£4.50 per sq ft) in years 1 and 2, to £191,188 per annum (£4.75 per sq ft) in year 3 and £201,250 per annum (£5.00 per sq ft) in year 4 and 5. The tenant will receive six months rent free. New lease completed for a three year term to Qualitas Limited, a telecommunications company, for a 3,400 sq ft unit at £5.34 per sq ft equating to £18,260 per annum, in-line with ERV. The tenant will receive four months rent free.

York, Clifton Park (office)

Agreement completed with Balfour Beatty to remove the tenant break option in June 2020 and fix the rent review at £138,348 per annum, equating to £15.25 per sq ft, in return for six months rent free. The lease expires in June 2025 and the new rent represents a 35% uplift on the previous headline rent.

-ENDS-

For further information:

Schroder Real Estate Investment Management Limited: Duncan Owen / Nick Montgomery / Frank Sanderson	020 7658 6000
Northern Trust: James Machon	01481 745529
FTI Consulting: Dido Laurimore / Richard Gotla	020 3727 1000