Warehouse REIT gets improved terms for £300m debt deal
Warehouse REIT, the multi-let warehouse investor, has secured a new £300 million debt refinancing completed on improved terms, reflecting the strength of high quality, multi-let industrial assets.
The Chester headquartered investor told the stock market this morning that the new facility comprises a £200 million term loan and £100 million revolving credit facility and replaces the previous £320 million facility.
The club of lenders includes HSBC, Bank of Ireland, NatWest and Santander.
Peter Greenslade
Peter Greenslade, finance director, commented: “This new facility has been well supported by the Company’s existing banking partners, and is on improved terms, demonstrating the strength of the Company’s high quality, multi-let portfolio and the subsectors compelling investment fundamentals. It delivers annualised earnings per share savings of 0.3 pence, supporting the Company’s objective of rebuilding dividend cover.”
Warehouse REIT values its portfolio at £810.2m across 69 estates and enjoys a rent roll of £44.6m.
It sold £12.8 million of non-core asset sales last month, which it said showed the industrial property market is showing signs of resilience.
Last month it sold Swift Valley Industrial Estate in Rugby for £6.1 million.
In its last set of results it posted sales 8.1% ahead of March 2024 book value, bringing total disposals for the first nine months of the financial year to £74.4 million, 1.8% ahead of book value.
Earlier this year a positive quarter of leasing activity for the three months to 31 December 2024 saw the REIT complete 25 transactions, securing £3.5 million of contracted rent and is continuing to successfully capture portfolio reversion, with transactions agreed on average 32.2% ahead of previous contracted rent.
