Urban Logistics sees rental income jump, with warehouses in demand

Urban Logistics said its rental income soared during the pandemic, as the warehousing landlord experienced high tenant demand for space during a period when online orders jumped.

Chairman Nigel Rich said: “During the worst periods of the pandemic, the high streets were empty with shops and hospitality closed in the successive lockdowns. Household needs were provided by e-commerce. Life will return to the high streets but the trend towards e-commerce, which preceded the pandemic, is likely to continue.”

The company counts Amazon and a number of third-party logistics firms among its tenant base.

Urban Logistics posted net rental income of £22.9 million for the year to March, up from £12.2 million. It said that was driven by rent increases on a comparable basis and from new properties that were purchased.

It agreed a number of acquisitions during the period, contributing to the value of the estate jumping to £508 million from £207 million.

During the year more than 99% of rent due has been collected.