U.K.-based industrial real estate investment trust Segro PLC agreed to sell a 158,000-square-meter warehouse near Rome to Tritax Eurobox PLC for €118 million.

The purpose-built warehouse, in Passo Corese, was developed in 2017 by the REIT's subsidiary Vailog and is let to an online retail company on a 15-year term, with just under 14 years remaining. The tenant has contributed "significant" capital investment to the asset, according to a release.

The deal, which is slated for completion by Oct. 31, reflects a net initial yield of 5.0%.