Warehouse REIT Reports Positive Leasing Activity in Q3 Trading Update
Why we think this is good
The RNS highlights strong leasing momentum for Warehouse REIT, with 25 transactions completed at rents 32.2% ahead of previous levels. This demonstrates the company's ability to capture portfolio reversion and drive rental growth. While the update lacks details on revenue and profits, the removal of a key development risk is a positive sign. Overall, the trading update paints a picture of an operationally resilient business, though the lack of financial performance metrics limits the ability to fully assess the company's prospects.
Key Points
- 25 leasing transactions completed, securing £3.5 million of contracted rent
- Leasing deals agreed 32.2% ahead of previous rents on average
- £12.8 million of non-core asset sales completed, 8.1% above book value
- Good progress made on sale of Phase 1 of Radway Green development
Summary
Warehouse REIT, the multi-let warehouse investor, reports another positive quarter of leasing activity for the three months to 31 December 2024. The Company completed 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. The company also completed £12.8 million of non-core asset sales in the quarter, achieving 8.1% above book value, and continues to make good progress on the sale of Phase 1 of its Radway Green development in Crewe.