Urban Logistics Regulatory News (SHED)

24 July 2023

Urban Logistics REIT plc

("Urban Logistics" or the "Company")

Trading Update

Asset Recycling & Active Management Drive Income

Urban Logistics (LON: SHED), the last mile logistics focused REIT, is pleased to provide an update on trading activity for the period from 1 April 2023 to 30 June 2023.

Highlights:

· 4 new lettings signed in the period, generating over £0.85m of additional rental income

· 2 rent reviews settled in the period, at a weighted average uplift of 20% generating an additional £0.3m of rental income

· 2 assets sold in the period for gross proceeds of £15m, representing a 3.4% premium to March 2023 valuations

· £57m of new fixed rate debt put in place to refinance existing floating rate debt, moving the total debt book to £367m drawn, with a further £51m of undrawn facility at an all-in rate of 4.2%, 93% hedged or fixed to term, with a weighted average maturity of 6.0 years. The debt is provided by Aviva Investors, and is a sustainably linked loan

· Following the administration of Tuffnell's, 9 of the 12 leases are being re-assigned on the same terms, and 3 smaller units (representing 0.45% of the rent roll) are actively being marketed.

Richard Moffitt, of Urban Logistics, commented:

"Against a backdrop of a challenging economic and equity market environment our focus is on delivering strong operational and financial performance.

"Our active asset management continues to drive performance and is supported by continued demand from tenants alongside a low national vacancy rate. The rent reviews and new lettings signed in the period have delivered significant additional income to the portfolio and the Company has selectively sold a number of assets where our asset management initiatives are substantially complete. These assets were sold at a premium to their March 2023 valuation.

"The recent refinancing means the Company has a very secure debt position, with capital available to be allocated as opportunities arise. 93% of the debt is now hedged or fixed to term, with the earliest debt maturity is in August 2025.

"The market for assets in the Company lot size remains robust and over the coming months we intend to recycle additional assets, further validating our net asset value. The Board consistently reviews the best use of capital and, where appropriate, will use the funds to selectively acquire assets which have compelling value accretive asset management opportunities to deliver strong income and total returns."

- Ends -

About Urban Logistics REIT

Urban Logistics REIT plc (LON: SHED) is a FTSE 250 property investment company. The Company is the only London-listed REIT to focus on specialist last mile / last touch logistics assets, with a tenant base which delivers essential goods within the UK. The Company's strategy is to invest in mid-sized logistics properties with the objective of generating attractive dividends and capital returns through active asset management.

Urban Logistics' investment adviser team, led by Richard Moffitt, has significant experience in investing in the logistics market within the broader real estate market. The team's ability to source vital and strategically located mid-sized single let properties, with high-quality tenants, off-market at favourable terms, creates considerable value for shareholders. Tenants include Amazon, XPO, DHL, Hermes, DPD, Boots, Unipart (for NHS), Royal Mail and J Sainsbury Plc.

Buying well and pursuing additional value enhancing asset management initiatives has driven the Company's growth, enabling Urban Logistics to grow from a £10m market cap company at IPO in April 2016 to a FTSE 250 constituent.