Warehouse REIT and Walgreens Boots Alliance ink 10-year lease extension

Real estate investment trust Warehouse REIT and Alliance Healthcare, the distribution arm of Walgreens Boots Alliance, have agreed a 10-year lease renewal at Daneshill Industrial Estate in Basingstoke.

Boots has occupied the unit, made up of 113,000 square feet of distribution facilities on a six-acre site, since 1989.

The renewal was agreed at a 42% uplift to the previous rent paid, with a headline rent of £925,000 a year.

Warehouse REIT highlighted the deal as just "one of a number of successful asset management initiatives" executed this year, as it continues to drive value and income growth across its portfolio.

The AIM-listed group said: "The agreement reflects the strong demand for high-quality warehouse facilities, and the shortage of alternatives, in this key distribution location as well as the importance of the unit to the tenant's supply chain."

At 0935 BST, Warehouse REIT shares were down 0.48% to 103.50p.