- LondonMetric Property said it had sold two logistics warehouses, in Sheffield and Wakefield, for £67m, to Exeter Property Group.

The 527,000 square ft property in Wakefield (546,000 sq ft including canopy), previously occupied by Poundworld, had been sold for £43.5m. The building was acquired on practical completion in September 2016 for £39.4m and had delivered an ungeared internal rate return of 6% per year. The sale was in line with book value, the company said.

The 335,000 square foot property in Sheffield had been sold for £23.5m. The building was acquired in March 2014 for £17.2m and is let to M&S until 1 April 2019. It had delivered an ungeared IRR of 13% per annum. LondonMetric retained the adjoining 290,000 square foot warehouse, also let to M&S and which had recently been re-geared.

'As a REIT, we continue to be attracted to the income compounding qualities of well let real estate and so have reacted to an off market approach to monetise these two non-income generating properties. The receipts will be recycled into more urban logistics assets where valuations are better supported and future rental growth is more certain,' said Andrew Jones, Chief Executive of LondonMetric.

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