LondonMetric buys 3 urban logistics warehouses for £35.4m

LondonMetric Property has bought three urban logistics warehouses for £35.4m in separate transactions.

The company said on Tuesday that the acquisitions reflect a blended net initial yield of 4.4% and a reversionary yield of 4.9%.

The properties generate a rent of £1.7m a year, with 83% of the income benefiting from RPI or CPI-linked rent review.

LondonMetric has bought a 130,000 sq ft warehouse in Worthing for £19m through a sale and lease back transaction with Bowers & Wilkins, which specialises in in high performance audio technology. It has also purchased a 50,000 sq ft warehouse in Uckfield for £10.3m, which is let to John Lewis for a further 15 years.

A 47,000 sq ft warehouse in Exeter, which is let to Jewson for a further 17 years, was acquired for £6.1m.

Chief executive Andrew Jones said: "These urban logistics assets are in good locations and let on long leases with certainty of income growth. We are continuing to find attractive opportunities for redeploying capital into our preferred sectors of urban logistics and grocery-led long income."