LondonMetric Property has sold seven properties in separate transactions for £31.3 mln (€37 mln), reflecting a blended NIY of 7.0% and a 3% profit over prevailing book values.
They include £18.3 mln of non-core LXi REIT assets, which have been sold at 5% ahead of prevailing book values.
The sales comprise a 106,000 ft2 Asda foodstore in Scotland (former LXi asset) sold for £10.5 mln; a 41,000 ft2 retail park in Ipswich let to Wickes, Topps Tiles, McDonalds and Costa sold for £10.2 mln; two former Cazoo car showrooms in Edinburgh and Cardiff (former LXi assets) sold for £6.4 mln; a B&M retail store in Stourbridge (former Mucklow asset) sold for £2.8 mln; and a Travelodge hotel and a pub (former LXi assets) sold for £1.4 mln.
Separately, LondonMetric has acquired six reversionary urban warehouse assets for £45.0 mln, reflecting a NIY of 6.1% and a reversionary yield of 6.6%.
The assets acquired have a WAULT of 7.6 years and comprise a 106,000 ft2 warehouse in Cardiff let to Booker; a 95,000 ft2 warehouse in Milton Keynes let to Ingram Content Group; a 30,000 ft2 multi-let warehouse in York; a 28,000 ft2 multi-let warehouse in Reading; and two warehouses totalling 37,000 ft2 in Derby and Huntingdon, acquired through a 15-year sale and leaseback with Travis Perkins.
Andrew Jones, Chief Executive of LondonMetric, commented: 'We are delighted to have exited these non-core assets and reinvested the proceeds into much higher quality assets, which offer superior rental growth potential. We are continually looking to upgrade the quality of our portfolio and exit lower growth assets outside of our core sectors or those that do not meet our return criteria. As such, we expect to announce further disposals shortly.'
