Urban Logistics REIT announces $128m fundraising

Urban Logistics REIT, which specializes in last-mile logistics warehouses, has announced a £100 million ($128 million) fundraising as it nears the £146 million ($188 million) acquisition of assets in its £300 million ($386 million) property pipeline.

The proposed fundraising is taking place at 137.5p per share ($162.66 per share), a 7.7 percent discount to Friday’s 149p ($176) closing price.

Urban logistics is real estate’s best-performing subsector, driven by the consumer shift toward e-commerce and limited warehouse availability as companies rush to modernize their delivery operations. Since its April 2016 IPO, Urban Logistics has averaged 11.4 percent pa EPRA NAV per share growth and a 16.1 percent pa total accounting return, making it one of the subsector’s top performers.

“Mid-box logistics assets at the end of evolving logistics chains are in short supply and offer excellent opportunities for investors seeking exposure to this high-growth subsec