Tritax Big Box today announces an update on its valuation ahead of its full year results for the twelve months to 31 December 2020, which are due to be published on Wednesday, 10 March 2021. All figures disclosed in this announcement are unaudited.
UK large-scale logistics real estate market has significantly strengthened
The second half of 2020 saw a significant increase in the value of prime, larger scale, UK logistics real estate assets let to high calibre occupiers on long leases. The supply of these prime assets remains constrained and occupier demand for larger scale logistics buildings continues to strengthen. When combined with a buoyant investment market, this is driving tighter pricing in transactions, accelerating yield compression and increasing valuations for prime assets both in the broader logistics real estate market and in our own high-quality investment and development portfolio.</''><''>Portfolio valuation ahead of market expectations
The independent valuation of our portfolio’s investment and development assets1 as at 31 December 2020 indicates a like-for-like increase in value of approximately 8% since 30 June 2020. This has been driven by the strength of the logistics real estate market, our active development and asset management activity, alongside the high-quality nature of our portfolio as demonstrated through consistently high levels of rent collection. As a result, we expect our 31 December 2020 EPRA NTA per share to have increased materially since the half year (30 June 2020: 154.85 pence per share) and to exceed the upper end of current analysts’ estimates2.
The Company will publish its Q4 2020 trading update on Thursday, 28 January 2021.
1Excludes land and land options.
2Based upon a Company compiled consensus, the current range of nine sell side analysts' estimates for EPRA NTA per share at 31 December 2020 is 152 pence to 166 pence, with an average of 159 pence.
This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation EU 596/2014 as it forms part of retained EU law (as defined in the European Union (Withdrawal) Act 2018). The Company's LEI is: 213800L6X88MIYPVR714