(Alliance News) - Regional REIT Ltd on Monday said it has secured new lettings of retail and industrial assets in the UK, 3.0% ahead of expected rental value and boosting annual rental income by GBP589,856.
The real estate investment trust said that, on its behalf, London & Scottish Investments Ltd renewed the lease of a business park in High Wycombe to computer printer sellers Star Micronics Ltd. The five-year renewal of Star House in the Peregrine Business Park will see Star Micronics pay an annual rent of GBP184,450 per year.
Logistics firm Schenker Ltd has taken a five-year lease of the whole of the ground floor at the Juniper Park asset in Basildon, Essex. As part of the agreement, also arranged by London & Scottish on behalf of Regional, Schenker will pay an annual rent of GBP182,260 per year.
Elsewhere, glasses retailer Specsavers Optical Group Ltd took a ten-year lease at high street units in Falkirk, Scotland, paying GBP32,500 per year in rent, Regional REIT said.
In the Genesis Business Park in Woking, Surrey, Regional REIT secured a five-year agreement with insurance firm Gallagher Benefit Services Management Co Ltd. Gallagher will pay an annual rent of GBP105,662.
The Cardiff Gate Business Park in the Welsh capital is now fully occupied after law firm Harrison Clark Rickerbys Ltd taking up ground floor space at the asset, paying an annual rent of GBP29,984.
Finally in Portland Street in Manchester, furniture maker Imperial Office Furniture Ltd extended a lease at the unit, increasing annual rent by GBP55,000.
London & Scottish Property Investment Management Chief Executive Stephen Inglish said: "Demand continues to be strong and we are very encouraged by the rental rates that we are able to achieve, ahead of estimated rental value. This further demonstrates that we are witnessing rental growth in our portfolio on a national scale.
"We also have no shortage of properties to make further acquisitions and to actively manage, improve and subsequently rent out at higher levels or seek an attractive disposal rate."
Regional REIT shares were up 0.8% at 114.47 pence each in London on Monday morning.
By Eric Cunha; ericcunha@alliancenews.com
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Regional Reit (RGL)