AEW UK Long Lease REIT PLC AEW Long Lease acquires Industrial Estate for £9m (9987U)
31 October 2017 - 6:00PM
UK Regulatory
TIDMAEWL
RNS Number : 9987U
AEW UK Long Lease REIT PLC
31 October 2017
31 October 2017
AEW Long Lease acquires Industrial Estate for GBP9m
AEW UK Long Lease REIT plc ("the Company") is pleased to
announce the acquisition of Pocket Nook Industrial Estate, St
Helens for GBP9.0m reflecting a net initial yield of 5.4%. The 16.1
acre site is let to three tenants and provides a weighted average
unexpired lease term of 66 years to expiry, with 49% of the income
let to Biffa Waste Services Ltd until 2134.
The estate comprises two industrial units, a small office with a
large yard and an area of storage land, with an additional unit
currently under construction by the vendor and pre-let to Biffa.
76% of the income is backed by the strong covenants of Biffa and
the Driving Standards Agency on uncapped RPI linked leases that are
reviewed 5 yearly. The Merseyside site is located 0.8 miles away
from St Helens town centre and benefits from its proximity to the
M57, M6 and M62.
Alex Short, Director of AEW UK Investment Management LLP, and
Portfolio Manager of the Company said: "This industrial site adds
to the diversity of our growing portfolio of properties, which so
far includes two hotels, a waterpark and a gym. We are also pleased
by the strength of the income that this asset provides and, in
particular, Biffa's increasing commitment to the location with the
addition of a second unit"
The transaction increases the total amount invested by AEW UK
Long Lease REIT plc since listing to GBP31.1m. In addition to this,
the Manager has a further 6 assets under offer and expects to make
additional announcements in the coming weeks.
AEW UK Long Lease REIT plc raised GBP80.5m from institutional
and retail investors at its IPO in June and at that time it stated
its expectation to substantially invest the net proceeds within
nine months of listing. The Company is targeting an annual dividend
of 5.5 pence per share paid quarterly, once fully invested and
levered, with an ambition to grow in line with UK inflation (RPI or
CPI) thereafter.
The Company entered the REIT regime with effect from 13 October
2017 following the submission of the application to HM Revenue and
Customs.
ENDS
About AEW UK Long Lease REIT
AEW UK Long Lease REIT plc (LSE: AEWL) aims to generate a
sustainable, secure and predictable income return, whilst at least
maintaining capital values in real terms, by investing in a
diversified portfolio of UK properties, with an attractive entry
yield, predominately in alternative and specialist sectors. It will
invest in a diverse range of sectors that are underrepresented in
institutional portfolios including leisure, healthcare, education,
hotels, student accommodation, supported living and automotive. At
its IPO on 6 June 2017, AEWL raised GBP80.5m from institutional and
retail investors. At least 85% of gross passing rent from the
portfolio's leases will contain inflation-linked rent reviews, and
average initial unexpired leases in excess of 18 years at the time
of investment.
About AEW UK Investment Management LLP
AEW UK Investment Management LLP is a 50:50 joint venture
between the Management Team and AEW. It employs a well-resourced
team comprising 25 individuals covering investment, asset
management, operations and strategy. It is part of AEW Group, one
of the world's largest real estate managers, with EUR58.5 billion
of assets under management as at 30 June 2017. AEW Group comprises
AEW SA and AEW Capital Management L.P., a U.S. registered
investment manager and their respective subsidiaries. In Europe, as
at 30 June 2017, AEW Group managed EUR26.0 billion in value in
properties of all types located in 15 countries, with over 380
staff.
AEW UK
Alex Short alex.short@eu.aew.com
+44(0) 207 016 4880
Laura Elkin laura.elkin@eu.aew.com
+44(0) 207 016 4869
Nicki Gladstone Nicki.Gladstone-ext@eu.aew.com
+44(0) 771 140 1021
Company Secretary
Capita Company Secretarial aewl-cosec@capita.co.uk
Services Limited +44(0) 139 247 7509
Temple Bar Advisory aew@templebaradvisory.com
Ed Orlebar +44(0) 7738 724 630
Tom Allison +44(0) 7789 998 020
Lucy Featherstone +44(0) 7789 374 663
About AEW Europe
AEW is one of the world's largest real estate asset managers,
with EUR58.5bn of assets under management as at 30 June 2017. AEW
has over 600 employees, with its main offices located in Boston,
London, Paris and Hong Kong and offers a wide range of real estate
investment products including comingled funds, separate accounts
and securities mandates across the full spectrum of investment
strategies. AEW represents the real estate asset management
platform of Natixis Global Asset Management, one of the largest
asset managers in the world.
As at 30 June 2017, AEW managed EUR26.0bn of real estate assets
in Europe on behalf of a number of funds and separate accounts. AEW
has over 300 employees based in 10 offices across Europe and has a
long track record of successfully implementing core, value-add and
opportunistic investment strategies on behalf of its clients. In
the last five years, AEW has invested and divested a total volume
of over EUR17.5bn of real estate across European markets.
This information is provided by RNS
The company news service from the London Stock Exchange
END
ACQEALEEDAPXFFF
(END) Dow Jones Newswires
October 31, 2017 03:00 ET (07:00 GMT)
Alternative Income Reit (LSE:AIRE)
Historical Stock Chart
From Apr 2024 to May 2024
Alternative Income Reit (LSE:AIRE)
Historical Stock Chart
From May 2023 to May 2024