Schroder European Real Estate Investment Trust (SERE) has purchased three industrial assets in the Netherlands for €19.8 mln, reflecting a combined net initial yield of 6.5%, with a weighted unexpired lease term of approximately nine years.
On completion of the acquisitions, the portfolio will comprise 12 properties with a value of approximately €222 mln. The portfolio will generate contracted rents of €16.1 mln with an average unexpired lease term to first break of 5.1 years and 6.7 years (per end of June 2018).
The company said that with these purchases, it has now redeployed the majority of net proceeds raised from the July sale of two low-yielding Casino supermarkets, leaving a remaining investment capacity of approximately €15 mln.
In Venray, the Netherlands, SERE has acquired a freehold 15,290 m2 warehouse, fully let to logistics specialist De Klok Logistics, on a new 10-year lease.
In Houten, in Utrecht province, the trust purchased a freehold 9,149 m2 warehouse which is 100% let to Inventum, a specialist in water heating and boilers, with an unexpired lease term of eight years. The property is located in the de Meerpaal Business Park.
SERE has also acquired a modern, 2,500 m2 mixed use building in Utrecht, fully let on a multi tenanted basis, with an unexpired lease term of approximately 8 years. The property is located in the De Wetering business park.
According to SERE, the acquisitions provide further sector diversification, with the portfolio now having the following allocations; 49% office, 29% retail, 13% industrial and 9% mixed use.