Warehouse REIT exchanges on Amazon-let shed

Warehouse REIT has exchanged contracts in its acquisition of a warehouse let to Amazon UK in Cheshire for £2.8m, reflecting a net initial yield of 7.3%.  Amazon UK Services is on a newly agreed five-year lease at the Widnes shed, which serves the online retailer’s last-mile distribution requirements across the surrounding North West region. These include distributing small items being offered for sale by “Amazon Sellers”. Amazon is now the second-largest tenant on the REIT’s rent roll. The asset is currently generating a comparatively discounted rental income of £216,432 pa (£4.42 per sq ft), while its low capital value