SEGRO signs more annualized rent and improves occupancy to 94.7%

SEGRO ($SGRO) reported £70 million of new headline annualized rent signed during the first nine months, up 32%, comprising £42 million from existing properties and £28 million from developments. Occupancy improved to 94.7%, 20 basis points above the half-year level. Retention was 80%, and rent reviews and renewals produced an average uplift of 34% across the group, including 43% in the UK.

Projects under construction or in advanced negotiations represent approximately £103 million of potential annual rent, with around two-thirds associated with pre-let space. The figures point to stronger leasing and development prospects, but annualized headline rent is not revenue already recognized in the current quarter and takes account of the period after incentives. Potential development income still depends on completion and lease execution. The statement therefore strengthens the operating picture without making the entire prospective rent stream an unconditional current contribution.

Sources:

• SEGRO — RNS trading update reproduced by London South East
• SEGRO — RNS trading update via Investegate