London-based industrial warehouse investor Warehouse REIT has completed £29.9 mln (€34.9 mln) in property sales.
They include Dales Manor Business Park in Cambridge, which was sold for £27 mln (€31.5 mln), reflecting a net initial yield of 4.5%.
Acquired in 2021 by Warehouse REIT, the 12,077 m2 Dales Manor Business Park comprises two adjacent industrial/warehouse units that have both underdone a full refurbishment.
The property enjoys excellent road connectivity providing easy access to Cambridge City via the A1307 and the wider region via the A505, M11, A11 and A14, whilst mainline rail links on the Cambridge/London Liverpool Street line are available from the nearby villages of Great Shelford and Whittlesford Parkway.
Warehouse REIT finance director, Peter Greenslade, said: ‘The combination of recent sales and the company's refinancing has significantly strengthened the balance sheet and earnings position. The improved covenants on the new facility are a testament to the strength of our banking relationships as well as the quality of the Warehouse REIT portfolio.’
The divestments are on average 17% ahead of 31 March book value and the warehouse developer intends to use the cash raised to pay down debt and support earnings in current financial year.
Net debt is around £275 mln (€321 mln) following the disposals.
Warehouse REIT signed a £320 mln (€373 mln) debt refinancing deal in June which replaced the previous £320 mln and extended the tenure from January 2025 to June 2028.
