Property firm announces new lettings, above the expected rental value

Property company Regional REIT has achieved several new lettings, including one in central Manchester.

The company, which focuses on office and industrial property outside London, said the lettings are some 5.5% ahead of expected rental value, amounting to £486,691 per annum.

They include properties in Leeds, Glasgow, and at nine Portland Street in Manchester, where two leases have been renewed with existing occupiers, Simard – fifth floor 5,725 sq ft, and Taste Marketing – sixth floor 4,377 sq ft.

Both are for 10 years subject to a break option on the fifth anniversary at a revised combined rental of £207,091 pa.

Stephen Inglis, chief executive of London & Scottish Property Investment Management, the asset manager, said: “These lettings represent further positive progress.

“Demand continues to be strong for our assets and we are very encouraged by the rental rates that we are able to achieve which once again are significantly ahead of our expected rental values.

“This further demonstrates that we are witnessing rental growth in our portfolio across all of the major UK regions.”

He added: “The acquisition pipeline remains very healthy and we will update shareholders as we continue to invest the proceeds from the earlier in the year equity raise and the recycling of capital from sales.

“The diversity of our income continues to grow as we expand our asset base and further enhance the quality and quantity of our income and expand our tenant base.”

Regional REIT has offices in Manchester and Leeds and owns properties throughout the North West and Midlands.