LondonMetric Property Plc (LON:LMP) has announced further progress on the reshaping of its portfolio with £105 million of investment activity since its trading update in July.
The Company has sold seven assets for £85 million, reflecting a NIY of 5.3% and in line with March 2026 book values. The assets were previously acquired through M&A and comprise:
· Two Ramsay Health Care hospitals in Truro and Salford let for a further 11 years and sold in a single transaction for £59.1 million. Completion of the sale is expected shortly and LondonMetric’s ownership of Ramsay hospitals will fall from 11 to nine, with its rental exposure to Ramsay falling to 8.4% of total rent (31 March 2026: 9.1%);
· Two logistics warehouses in Ripon and Normanton let for a further six years (three years to first break), sold for £13.0 million;
· A Lidl store in Basildon let for a further 17 years, sold for £8.8 million; and
· Two Travelodge hotels in Chippenham, sold for £4.1 million. 17 Travelodge hotels have now been sold in this financial year, with LondonMetric’s rental exposure to Travelodge falling to 4.1% of total rent (31 March 2026: 4.9%).
Including these sales, LondonMetric has sold 32 assets for £175 million in this financial year.
Acquisitions in the year total £62 million, reflecting a yield of 5.9%, and include a recently signed £20 million forward funding of a 50,000 sq ft foodstore in Nuneaton, pre-let to Tesco on a 20-year lease.
LondonMetric is under offer on £140 million of additional acquisitions at a yield in excess of 6%. These primarily comprise long-let assets with occupiers including Lidl, M&S, Tesco and Waitrose.
Andrew Jones, Chief Executive of LondonMetric, commented:
“Despite a challenging macroeconomic backdrop, we have made excellent progress in selling further non-core assets over the past two months. Our activity has helped reduce our Ramsay exposure and further improve our NNN income quality, longevity and granularity.”
“Whilst the investment market is generally quieter over the summer, we have been heavily engaged on reinvestment opportunities that have higher growth prospects, particularly those emanating from pension funds. We expect to transact on a number of these shortly.”
