Last checked at 8 Dec 2014 07:00
8 December 2014
SEGRO AGREES DISPOSAL OF €45.8 MILLION PORTFOLIO OFREGIONAL GERMAN INDUSTRIAL ESTATES
SEGRO plc ('SEGRO') has completed the disposal of seven regional German industrial estates and exchanged contracts to dispose of a further three to Hansteen Holdings PLC, for a total of €45.8 million (£36.1 million1).
Disposal of the remaining three assets (representing €5.0 million, £3.9 million) should complete, subject to conditions, by the end of the first quarter of 2015.
The total portfolio comprises 128,800 sq m of light industrial space and, at 30 September 2014, had a vacancy rate of 14 per cent (based on ERV at 30 June 2014).
The price reflects an EPRA net initial yield2 of 8.1 per cent and a 2 per cent discount compared to the portfolio's valuation at 30 June 2014.
The disposal marks another step in the continued progress of SEGRO's portfolio re-shaping strategy to focus on modern, sustainable properties in its core light industrial and big box logistics warehouse markets in the UK and Continental Europe.
1 Based on exchange rate of €1.27.
2 EPRA net initial yield reflects passing rent less non-recoverable costs as a proportion of the sale proceeds grossed up for notional purchaser's costs.
ENDS
For further information, please contact:
SEGRO plc
Harry Stokes (Head of Investor Relations and Research)
+44 (0) 20 7451 9124 / harry.stokes@segro.com
Lizzie Humphreys (External Communications Manager)
+44 (0) 20 7451 9129 / lizzie.humphreys@segro.com
FTI Consulting
Richard Sunderland / Nick Taylor / Claire Turvey
+44 (0) 20 3727 1000
About SEGRO:
SEGRO is a leading owner, asset manager and developer of modern warehousing and light industrial properties, with £4.5 billion of assets (at 30 June 2014, including joint ventures at share) principally concentrated in London's Western Corridor (including the Thames Valley) and in key conurbations in France, Germany and Poland. It also develops and owns warehouses in important distribution markets in the UK, Belgium, the Netherlands and the Czech Republic, and offices in Slough and Milan. The Group serves around 1,250 customers spread across a diverse range of industry sectors. It has 5.8 million square metres of built space under management and a gross passing rent roll of £266 million (SEGRO share).
For further information see www.SEGRO.com/investors.