Aew Uk Reit Share Discussion Threads

[speedsgh] 30/11/2015 12:38

Maiden dividend declaration announced on Friday pm...

NAV Update and Dividend Declaration -

[stemis] 27/11/2015 16:20

Ok, the phone call did the trick. She emailed me details back. The properties are 16 and 16A Langthwaite Business Park. I've found the sale particulars on the web

www.gva.co.uk/Property/1776/Document/11920/
www.gva.co.uk/Property/1777/Document/11921/

They were both offered for sale or rent

16 - 126,017 sq ft @ £2.75/sq ft
16A - 94,128 sq ft @ £3.25/sq ft

That's total asking rent of £652,000.

RNS suggests a yield of 11% on purchase cost of £5.8m (so £638,000 pa) or 12% reversionary (so £696,000).

I think we can assume that they are surplus to Ardagh's requirements. Both brochures are dated as designed August 2011. If that's true they hardly flew off the shelves.....I think they might struggle to get those rents and end up with a liability for rates if they try.

[speedsgh] 27/11/2015 10:25

Don't know if these links are any use?

Reuse Glass & URM (UK) Ltd t/a Berrymans both trade from 49 Lidgate Crescent on Langthwaite Business Park. WF9 3NR.

Ardagh Glass & Reuse Group invest £5m in recycling push -

[speedsgh] 27/11/2015 10:11

SteMiS - May be worth contacting the Langthwaite Business Association to ask for the address from which Ardagh Glass trades? Maybe the units have been sub-let?

Langthwaite Business Association,
Langthwaite Business Centre, Langthwaite Business Park, Langthwaite Road, South Kirkby, Pontefract, West Yorkshire, WF9 3AE
01977 652984
[e-mail]

[lord gnome] 27/11/2015 09:54

SteMiS - take a look at CREI if you are interested in this sector.

[stemis] 27/11/2015 09:52

Unable to find the address for Ardagh on Langthwaite Business Park, I emailed the investor relations contact. It's been a week now and no reply. That sort of thing doesn't fill me with confidence.

I've rung her and left a message to call me back. Let's see if she does.

[stemis] 23/11/2015 09:30

You could of course have split your investment between the two to diversify away company specific issues...

[lord gnome] 20/11/2015 10:34

I have bought some RGL instead of AEWU this morning after having a long hard look at both companies. They occupy the same space and have similar investment objectives, but I reckon RGL is the pick of the two. Firstly, it is a bigger and therefore more-liquid stock. Despite having only two MMs I could pick up what stock I wanted without difficulty and a dummy sell then confirmed the ability to sell them again.
The yield / NAV situation is similar, but I reckon RGL has a higher quality portfolio of properties. It also has an advantage in that the share purchase does not attract stamp duty - every little helps. Currently RGL plan to pay dividends half-yearly instead of quarterly like AEWU, so AEWU wins on that score. When I tried a dummy buy of AEWU I also found it impossible to buy any quantity on line and would have to place limit orders. This does not fill me with confidence for when it's time to sell. I am keeping AEWU on watch and will review after their first nav / dividend announcement.

[speedsgh] 19/11/2015 13:54

Interesting read on the previous regeneration of Langthwaite Business Park.

Langthwaite Business Park Crisis to Collaboration -

[stemis] 19/11/2015 12:02

Another property with a short expiring lease. They must be pretty confident of renewal or release otherwise £5.8m is a lot to pay to have the costs of an empty property.

Unfortunately I can't find any address for Ardagh on Langthwaite Business Park. Doesn't sound like they are trading from there.

[speedsgh] 17/11/2015 10:27

Purchase of Property -

AEW UK REIT PLC ACQUIRES INDUSTRIAL INVESTMENTS

The Board of AEW UK REIT plc (the "Company") is pleased to announce the acquisition of two neighbouring industrial warehouses totalling 221,145 sq ft on Langthwaite Business Park, South Kirkby, let to Ardagh Glass Limited with a WAULT of approximately 1 year to break and 2.5 years to expiry. The properties have been bought for £5.8m (net of acquisition costs) reflecting a net initial yield of 11%, reversionary yield of 12% and a capital value of £26 per sq ft.

The properties are situated on the well-established Langthwaite Business Park, South Kirby, West Yorkshire.

With this purchase, the Company has approximately £88m invested, including £9.75m in AEW UK's Core Property Fund, and 17 properties.

Commenting on the deal, Alex Short, REIT Portfolio Manager at AEW UK Investment Management LLP, said, "We are pleased to have acquired these industrial warehouses, which are well located in an area where there is a dearth of available accommodation and we feel positive that the pricing of this asset is well supported by its underlying vacant possession value."

[stemis] 11/11/2015 11:47

I think they have enough rent roll (and cash) to support 1.5p per quarter so I don't envisage it being a problem.

[speedsgh] 11/11/2015 11:28

Talking of the dividend, we should hopefully get news soon of maiden dividend payment.

From Admission Prospectus:
"The Company intends to declare its first interim dividend in November 2015 to be paid in December 2015. On the basis of the expected investment period the Company is targeting a first interim dividend of at least 1.5 pence per Share and subsequent interim dividends of at least 2 pence per Share."

[stemis] 11/11/2015 11:04

Certainly making good progress (better than I expected) investing their money however the acid test will be if they can add value by converting many of these short leases (or leases with imminent break clauses) into longer leases at the same or better rents. If they can then there should be substantial uplift in NAV. If they can't then the dividend yield of 8/9% is unlikely to be achieved....

[speedsgh] 09/11/2015 11:56

AEW UK REIT PLC ACQUIRES INDUSTRIAL INVESTMENT -

The Board of AEW UK REIT plc (the "Company") is pleased to announce the acquisition of an industrial warehouse of approximately 43,207 sq ft. Equinox, Castlegate Business Park, Salisbury, let to Equinox International Ltd with WAULT of 1 year to break and 6 years to expiry, has been bought for £2.0m (net of acquisition costs) reflecting a net initial yield of 11.3%, reversionary yield of 9.2% and a capital value of £46 per sq ft.

The Property is situated at the western end of Castlegate Business Park, an established industrial area located 3 miles north of Salisbury town centre.

With this purchase, the Company has approximately £83m invested, including £9.75m in AEW UK's Core Property Fund, and 16 properties...

...Commenting on the deal, Alex Short, REIT Portfolio Manager at AEW UK Investment Management LLP, said, "We are pleased to have acquired this industrial warehouse, which is well located and we feel positive that the pricing of this asset is well supported by its underlying vacant possession value."

[speedsgh] 27/10/2015 11:37

AEW UK REIT PLC ACQUIRES PROPERTIES FOR £3.37m -

The Board of AEW UK REIT plc (the "Company") is pleased to announce that it has acquired its fifteenth property, Units 1001-1004, Sarus Court, Runcorn, for £3.37m. With this purchase, the Company has approximately £81m invested.

Sarus Court is located on the established Manor Park Industrial Estate to the west of Runcorn a short distance from the Mersey Gateway Project, providing a new 6 lane bridge over the River Mersey between the towns of Runcorn and Widnes linking the M56 to M62. The project is due for completion in 2017.

The site extends to 3.6 acres and accommodates four industrial warehouse buildings totaling 56,153 sq ft. The property is fully let to two tenants on four leases providing an unexpired term of 5.2 years to expiry and 3.8 years to break. The purchase price reflects a net initial yield of 8.0% and a reversionary yield of 7.9% and capital value of £60 per sq ft.

Commenting on the deal, Alex Short, the Company's Portfolio Manager at AEW UK Investment Management LLP, said, "We are pleased to have acquired another industrial asset for REIT and this estate stands out as being one of the best specified within the area. As well as this acquisition, we are continuing to make good progress with transactions in line with our deployment timetable and expect to be able to make further announcements very shortly."

[speedsgh] 20/10/2015 11:21

AEW UK REIT PLC ACQUIRES PROPERTIES FOR £3.06m -

The Board of AEW UK REIT plc (the "Company") is pleased to announce the acquisition of a portfolio comprising of 3 industrial warehouses totalling 65,500 sq ft. Moorside Road, Swinton; Wagon Road, Mossley and Clarke Road, Milton Keynes, all trading as Nationwide Crash Repair Centres, have been bought for £3.06m (net of acquisition costs) reflecting a net initial yield of 8.3% and a capital value of £47 per sq ft.

The properties in Swinton and Mossley are both located within 10 miles of Manchester, close to junctions 2 and 23 of the M60 respectively, whilst Clarke Road forms part of the Mount Farm Industrial Estate close to junction 13 of the M1. The leases, expiring in August 2023, provide a WAULT of just under 8 years and produce a total rental income of £269,000 pa which is considered to be rack rented. The income is guaranteed by Nationwide Accident Repair Services Ltd.

With these purchases, the Company has approximately £77m invested, including £9.75m in AEW UK's Core Property Fund, and 14 properties.

[speedsgh] 16/10/2015 11:22

AEW UK REIT PLC ACQUIRES PROPERTIES FOR £8.79m -

The Board of AEW UK REIT plc (the "Company") is pleased to announce the completion of two further acquisitions for £8.79m (in each case, net of acquisition costs).

Barnstaple Retail Park was acquired for £6.79m reflecting a net initial yield and reversionary yield of 8.5%. It comprises a fully let retail warehouse scheme, extending to 50,950 sq ft. The Park is anchored by a 35,690 sq ft B&Q and includes a 9,605 sq ft unit let to Sports Direct and a 5,717 sq ft unit let to Poundland. The leases provide a WAULT of 7.3 years to break and 8.6 years to expiry, producing a total rental income of £610,680 pa.

Carrs Coatings, Eagle Road, Redditch was acquired for £2.0m reflecting a net initial yield of 9.5% and reversionary yield of 7.5%. Carrs Coatings is located on the established North Moons Moat Industrial Estate to the east of Redditch, a short distance from Junction 3 of the M42. The site extends to circa 1.7 acres and accommodates an industrial warehouse building of 37,833 sq ft. The property is single let to Carrs Coatings Ltd providing an unexpired term of 13 years with annual fixed rental uplifts in line with RPI.

With these purchases, the Company has approximately £74m invested, including £9.75m in AEW UK's Core Property Fund, and eleven properties.

[speedsgh] 27/8/2015 19:29

AEW UK REIT PLC ACQUIRES PROPERTY FOR £2.18m -

The Board of AEW UK REIT plc (the "Company") is pleased to announce the completion of a further acquisition for £2.18m (net of acquisition costs).

Vantage Point, 23 Mark Road, Hemel Hempstead comprises a two storey office building of 18,407 sq ft located within the established Maylands Business Park located within of the M1 Motorway and 10 miles south of Luton Airport. The property is fully let to two tenants, providing a weighted average unexpired lease term of 5 years to break and 9.4 years to expiry. The purchase price reflects a net initial yield of 8.4% and reversionary yield of 8.4%.

With this purchase, the Company has approximately £60m invested, including £9.75m in AEW UK's Core Property Fund.

[speedsgh] 24/8/2015 10:24

AEW UK REIT PLC ACQUIRES PROPERTY FOR £3.5m -

The Board of AEW UK REIT plc (the "Company") is pleased to announce the completion of a further acquisition for £3.5m (net of acquisition costs).

710 Brightside Lane is located to the north-east of Sheffield, with good access from both the city centre and the M1 and within one mile of the Meadowhall Shopping Centre. The site extends to circa 5.75 acres and accommodates an industrial warehouse building of 125,938 sq ft along with extensive yard and parking areas. The property is single let to ROM Group Limited, a subsidiary of the Celsa Group, for a period of 15 years from April 2015. The lease provides for a tenant break option in just under 10 years' time. The purchase price reflects a net initial yield of 9.5% and reversionary yield of 9.5%.

[speedsgh] 20/8/2015 18:10

AEW UK REIT PLC ACQUIRES PROPERTY FOR £2.16m -

The Board of AEW UK REIT plc (the "Company") is pleased to announce the completion of a further acquisition for £2.16m (net of acquisition costs).

Stoneferry Retail Park occupies a prominent roundabout site totalling 17,656 sq ft approximately 2 miles to the north of Hull city centre. The scheme comprises 2 retail warehouse units along with a drive thru Burger King and 113 customer parking spaces. The purchase price reflects a net initial yield of 10.0% and reversionary yield of 9.2%. The lettings provide a total passing rent of £228,591 pa equating to c £13 per sq ft as compared to an ERV of £12 psf. The lettings provide a weighted average unexpired lease term of just under 7 years to expiry...

[speedsgh] 14/8/2015 11:26

Purchase of Property -

...Alex Short, the Portfolio Manager at AEW UK Investment Management LLP said, "We are pleased to have completed on another acquisition for the REIT, in line with our timetable as set out to investors prior to the REIT launch. The REIT is currently under offer, or close to being under offer on, a range of similar deals and consequently expect to be able to make further announcements over the coming weeks."

[horndean eagle] 13/7/2015 19:26

Making good progress. Should continue as it gets on peoples radar. 8-9% yield not to be sniffed at. Should be fully invested by year end. Promised at least 1.5p for quarter ending Oct and then 2p a quarter after that. I imagine income funds likely to jump on the bandwagon at that point.