11 May
London
Reporter: Theo Andrew

AEW UK long lease IPO targets £150 million


AEW UK is set to float a long lease REIT with the intention of raising up to £150 million.

The portfolio will focus on acquiring assets with weighted average unexpired lease terms of 18 years and inflation linkage on at least 85 percent of the portfolio’s gross passing rent.

Shares of the AEW UK Long Listed REIT will have an issue price of £1 per share and will target an annual dividend of 5.5 pence per share, paid quarterly.

The REIT will invest in a diverse range of alternative sectors, including leisure, healthcare, education, hotels, student accommodation, supported living and automotive.

Offers of shares will be made to institutional and professional investors in qualifying geographies, the UK public and certain UK financial intermediaries with retail clients.

Close pacing and offers are expected to be received by the end of May and AEW hopes to have substantially invested the proceeds within nine months.

Steve Smith, chairman of AEW UK Long Lease REIT, said: "AEW has over 30 years of investment experience specialising in real estate. The dictable and sustainable income return that investors are seeking in the current economic environment.”

Alex Short (pictured), director of AEW UK, added: "We have a depth of expertise and proven insights that will allow us to rapidly create a diversified portfolio of properties that are less widely invested in by institutional investors. We are also able to preserve capital value through detailed analysis and understanding of the real estate fundamentals."

More news
The latest news from Real Estate Investment Times
Join Our Newsletter

Sign up today and never
miss the latest news or an issue again

Subscribe now
LaSalle closes £800 million debt fund
21 November 2017 | London | Reporter: Theo Andrew
The fund was supported globally, raising its funds from 17 limited partners across Europe, the Middle East, Asia and the US
EPIC warehouse acquisition in the pipeline
20 November 2017 | London | Reporter: Stephanie Palmer
Ediston Property Investment Company (EPIC) is set to acquire four retail warehouse parks in the UK from Stadium Group, for £144 million
HFF delivers $288.8 million loan for resi project
17 November 2017 | San Jose, California | Reporter: Theo Andrew
HFF has secured $288.8 million of construction financing for two luxury residential towers in San Jose, California
CBRE Capital Advisors chosen for £100 million fund
16 November 2017 | Belfast | Reporter: Theo Andrew
The Northern Ireland fund will provide debt finance for real estate, regeneration, low carbon and infrastructure projects. It has been appointed on a 15 year mandate
AXA IM - Real Assets hit final close on logistics club
15 November 2017 | London | Reporter: Theo Andrew
The fund, which seeks to invest in 1 million square metres of logistics developments across Europe, raised the equity commitments from four international institutional investors
LaSalle names European head in business restructure
14 November 2017 | Paris | Reporter: Theo Andrew
Karim Habra was previously head of France for LaSalle, and his appointment replaces the firm’s previous structure of naming country heads for Europe
L&G settles on UK retirement villages for £102 million
14 November 2017 | London | Reporter: Theo Andrew
The portfolio, not yet fully developed, will comprise of 694 units, located in Liphook in Hampshire; Faygate in West Sussex; Exeter in Devon; and Great Alne in Warwickshire