Warehouse REIT is mulling an equity fundraising to help fund an acquisition pipeline valued at £352m.
The group, which focuses on ‘last mile’ warehouse assets, has said it is in advanced talks, or has identified, investment opportunities with a target investment yield in excess of 6%.
Of these assets around £72m are in exclusive or final negotiations, with a further £280m in detailed negotiations.
The group added that “with limited capital resources available to complete acquisitions” it is contemplating an equity fundraising to secure the assets.
The company also updated investors this morning, claiming a a strong performance during the period from 1 October to the end of January.
During the period it completed 28 new lettings and 28 lease renewals across 209,000 sq ft of space, which were achieved at 5.5% ahead of September rental value and generating £1.2m of annual contracted rent.
During the period, the firm also increased total occupancy across the portfolio to 92.7% from 91.5% at the end of September.
The company added its dividend target for the year to the end of March has been increased to 6p a share from 6p a share.