Segro offloads non-core industrial assets

Segro, the real estate investment trust focused on industrial properties, has sold four 'non-core' assets in the north and Midlands.

The portfolio being disposed includes four multi-let industrial estates: Heywood Distribution Park in Rochdale; Trafford Park in Manchester; the Kings Norton Business Centre; and Meteor Park in Birmingham.

The sale is set to raise £204.5m but will also see the closure of Segro's two regional offices in Manchester and Birmingham. The transactions is still dependent on "finalisation of the purchaser's bank funding arrangements".

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up

Commenting, Phil Redding, SEGRO's Chief Investment Officer, said: "In the year to date, assuming the completion of this transaction, we have announced non-core asset disposals of £377m, with further disposals expected during the remainder of the year. This latest announcement is another important step forward in the process of re-shaping our portfolio to focus on core markets."

Segro's share price has declined by 97% in the last five years but today's news had lifted the stock 0.45% by 08:23

BS