Logistics property specialist Tritax Big Box REIT has this morning reported a significant increase in operating profit and portfolio valuation.
Profit for the first half of the year came in at almost £73.8 million, compared with £8.21 million in June 2014, while the value of the group’s warehouse portfolio increased from £0.36 billion to £1.09 billion.
Tritax acquired eight new logistics assets during the period, including major purchases in Staffordshire (pictured) and Yorkshire, diversifying the portfolio by both geography and tenant. The portfolio is fully let or pre-let, with a WAULT of 15.77 years, delivering a rental income of £58.87 million per annum.
Commenting on today’s interim results, Tritax Chairman Richard Jewson said: “Our investment manager continues to identify and negotiate good opportunities to buy assets and create capital value enhancement for our shareholders, both at the point of purchase and through a variety of asset management initiatives.
“We will continue to build an increasingly diversified and high quality portfolio, as we deploy the equity and debt financing raised during the period.”
He continued to add that large logistics facilities are becoming increasingly central to retail fulfilment and that yields have the potential to move towards those of prime retail assets, as the balance between supply and demand continues to favour landlords.
“The outlook for the remainder of 2015 remains strong and the Company anticipates achieving the dividend target on 6.0 pence per share for the full year,” he concluded.