LondonMetric Property has sold five UK warehouses in two transactions for £34.8m (€39.5m).

The UK-listed logistics investor said it has agreed to sell a portfolio of four distribution warehouses comprising an 82,000sqft asset in Coventry, a 42,000sqft asset in Warrington, a 37,000sqft warehouse in Golden Cross, Birmingham and a 37,000sqft asset in Redfern, Birmingham for £25.5m.

The FTSE 250 real estate investment trust has also sold a 91,000sqft unit in Coventry for £9.3m in a separate deal.

LondonMetric said the total proceeds from the disposals reflect a net initial yield of 5% and a 4% discount to the 30 September 2022 book value. The sales crystallise an ungeared internal rate of return of 11% and a 28% profit on cost, LondonMetric added.

Andrew Jones, CEO of LondonMetric, said: “These assets have performed well since acquisition and support our early macro call into urban logistics. 

“Our disposals over the last 12 months now total £250m and we will continue to seek out new urban and regional warehouse opportunities where we can leverage our asset management capabilities.”

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