For release 26
February 2019
Schroder Real
Estate Investment Trust Limited
("SREIT"/ the "Company" / "Group")
RETAIL ASSET
MANAGEMENT UPDATE
Schroder Real Estate Investment Trust, the actively managed
UK-focused REIT, announces that it has completed two new lease
agreements at Bedford and Milton Keynes which improve the
portfolio’s defensive qualities.
St. John’s Retail Park, Bedford
A lease agreement has been exchanged with TJ Morris Limited
(trading as Home Bargains) for a 14,500 sq ft store on a
fifteen-year term at £190,000 per annum. This space makes up
the balance of the vacant former Homebase where an agreement has
already been exchanged with Lidl to lease a 21,630 sq ft store on a
fifteen-year term at £335,000 per annum. The lettings are subject
to securing planning consent and SREIT delivering a refurbished
unit with associated improvements to the car park and wider site at
a cost of approximately £3.7 million.
Matalan, Milton Keynes
An agreement has been exchanged with Matalan that extends its
current lease by eight years until March
2029, at a new rent of £572,000 per annum. As part of
the transaction Carpetright, who currently sublet 8,500 sq ft from
Matalan, will become a direct tenant paying £95,000 per annum on a
lease until March 2021. The new
lease to Matalan is conditional on improvement works to the roof,
cladding and car park at a cost of approximately £1
million.
These transactions are part of an active pipeline of retail
asset management and realisations. In addition to the
previously announced realisation of a retail asset in Portsmouth
for £1.6 million, contracts have been exchanged to sell a retail
property in Yeovil for £300,000 which is in line with the
independent valuation at 31 December 2018. The Company will
keep the market updated as further realisations are completed post
asset management initiatives.
-ENDS-
For further information:
Schroder Real Estate
Investment Management Limited:
Duncan Owen / Nick Montgomery / Frank Sanderson |
020 7658 6000 |
Northern
Trust:
Sean Walsh / James Machon |
01481 745529 |
FTI
Consulting:
Dido Laurimore / Richard Gotla |
020 3727 1000 |