The portfolio consists of a logistics warehouse let to UPS at East Midlands airport and a hotel at Manchester airport.

The assets are let on long leases with a WAULT to first break of over 100 years. They generate £2.2m of rent pa, which is substantially below market rent of £8.2m pa, with a running yield of 5% over the next few years.

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The disposals consist of five former Urban Logistics REIT assets sold at a blended NIY of 5.4% and 5% above acquisition price. They comprise an urban warehouse in Redditch and a portfolio of four industrial open storage assets in Telford, Sheffield, Leigh and Northampton let primarily to XPO and DX.

“We have continued to monetise assets acquired through takeovers and have now sold eight Urban Logistics REIT assets at strong prices, reflecting the ongoing demand for smaller lot sizes,” said Andrew Jones, CEO at LondonMetric (pictured above).

“The proceeds from these and previous sales have been successfully reinvested into high quality, NNN and mission critical assets which are strongly underpinned by significant reversion and materially higher values achievable on vacant possession.”