Tritax Big Box REIT Plc agreed to buy a distribution warehouse and an adjacent lorry parking facility for £56.5 million, taking its recently announced acquisitions to £172 million.
The properties in the latest agreement are located at Oliver Road, Thurrock, U.K., and are both leased to The Co-operative Group Ltd. The purchase price represents a net initial yield of 5.53%.
The Oliver Road facility has a weighted average unexpired lease term of approximately 9.4 years, with the next rent review for the warehouse and the parking facility scheduled in December 2020 and May 2018, respectively.
Meanwhile, the other two U.K. properties that Tritax agreed to buy are located at Birch Coppice, Birmingham, and at Warth Park in Raunds, Northamptonshire. They will be bought for £115.5 million.
The company said in late September when it announced a plan to raise £150 million through an offering of up to 113,636,364 new ordinary shares that it was in talks for three U.K. facilities.
Tritax Big Box added that the planned acquisitions will be finalized upon the closing of the capital offering, expected on or around Oct. 20.