£14m investment secured for new logistics development
Urban Logistics REIT which recently completed a £250m equity raise has entered into an agreement to forward fund a new logistics development in Sheffield.
The 131,500 sq ft scheme is expected to complete in November 2022 on Newhall Road and will Urban REIT invest c.£13,820,000 with a net initial yield targeted at 6% of the cost.
The building is said to have been designed to have “excellent environmental credentials” with BREAM Excellence rating and offering electric vehicle charging points.
Alongside the development in Sheffield, Urban Logistics has also acquired a logistics sites in Leicester, Northampton and Dundee. The total investment in all four sites is £28.6m
Richard Moffitt, chief executive, at Urban Logistics said: “We’re pleased to confirm our continued deployment of capital following the close of our recent oversubscribed equity raise. We have an excellent pipeline of “last mile / last touch” logistics assets to acquire and the team will be working hard over the coming months, investing in those quality assets that will be accretive to shareholder value, with further acquisitions expected before the end of the year.
“Our strategy of acquiring mid-box last mile logistics assets, in key locations, with excellent transport links has not altered since inception in 2016. We acquire properties which are key to our tenants’ operations, and we continue to create additional performance through active asset management and improved environmental performance.”
