Schroder REIT has secured 13 new lettings or renewals across its portfolio. The group, which announced a share buyback programme last week, said the activity increased contracted rental income by £210,000 a year.
The activity included:
- A new lease for a three year term to the Secretary of State for Housing, Communities and Local Government at its Cloverdale House office in Leeds. The 17,578 sq ft of space has been let at £15.00 per sq ft equating to £281,670 per annum. The rental level achieved is in-line with the independent estimated rental value (ERV) and represents a 6% increase to the previous passing rent.
- Nine new lettings, renewals and rent reviews across its multi-let industrial estates in Milton Keynes, Leeds and Norwich. This activity equates to a total annualised rent of £360,000 and generated additional contracted rental income of £180,000 per annum compared with the position at 30 June 2020.
Rent collection
The rent collected that was payable in June 2020 for the period ending 30 September 2020 currently totals 82% of contracted rents. The breakdown between sectors for rent collection is 95% of office, 92% of industrial, 53% of retail and leisure, and 100% of other collected.
Share buybacks
Last week the company announced a share buy-back programme, using some of the £85.4m of cash reserves. The board believes that investment in the shares at the prevailing price and discount to net asset value (of around 46%) offers attractive value for its shareholders. Alongside share buybacks, the company said it would continue to identify new acquisitions.
SREI : Schroder REIT secures series of lettings