Schroder Euro Real - Acquisition of Warehouse in the Netherlands

Schroder European Real Estate Investment Trust

20/03/2023 07:00

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RNS Number : 4410T  Schroder Eur Real Est Inv Trust PLC  20 March 2023

20 March 2023

 

Schroder European Real Estate Investment Trust Plc

SCHRODER EUROPEAN REIT ACQUIRES HIGHLY SUSTAINABLE WAREHOUSE IN ALKMAAR, THE
NETHERLANDS, WITH 20 YEAR TRIPLE NET LEASE

Schroder European Real Estate Investment Trust Plc (the "Company"), the
company investing in European growth cities, announces that it has acquired,
via a sale and leaseback, a freehold industrial warehouse in Alkmaar, the
Netherlands, for approximately €11 million, reflecting a net initial yield
of 5.6%.

 

The 9,115 sqm property is fully let to W.A. Schuurman Beheer B.V., an
electrical engineering and renewable energy specialist that has been in
operation for over 100 years and serves as its headquarters and as its key
distribution hub. The 20 year triple net lease, with a break at 15 years,
benefits from annual indexation.

 

The property, which has won a number of architectural awards for its design,
has been built to a high standard with excellent sustainability credentials,
including on-site renewable energy and an EPC rating of A+.

 

In line with the Company's 'Winning Cities' strategy, the asset is situated in
Alkmaar, an established light industrial and distribution location c. 40km
north of Amsterdam in the Randstad which is one of the Netherlands' fastest
growing regions from a population and manufacturing perspective. Located near
to the A9 motorway, it benefits from supply constrained dynamics and excellent
arterial connectivity, with direct access to Amsterdam as well as the A1, A2
and A4, providing links to the Netherlands' wider motorway network.

 

Commenting on the acquisition, Jeff O'Dwyer, Fund Manager at Schroder Capital
Real Estate commented:

 

"Whilst we continue to be patient in our investment strategy, this was a rare
opportunity to acquire a highly sustainable asset with a strong and visible
income profile that enhances the Company's sector weighting, average unexpired
lease term and credit strength.

 

"We continue to seek ways to further diversify by both number of assets and
tenants, as well as increasing our allocation to high growth pockets of the
industrial sector via selective acquisitions. As well as increasing the
portfolio industrial weighting from 25% to 29%, this investment deploys a
portion of the proceeds from the sale of Paris Boulogne Billancourt in 2022 as
part of our strategy to improve dividend cover."

 

 

 

 

Enquiries:

 

Jeff O'Dwyer

Schroder Real Estate Investment Management Limited
Tel: 020 7658 6000

 

Shilla Pindoria

Schroder Investment Management
Limited
Tel: 020 7658 6000

 

Dido Laurimore/Richard Gotla/Ollie
Parsons                                Tel: 020
3727 1000

FTI Consulting

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