Established in 1924, Schroder Real Estate Investment Trust plc is a Guernsey-based real estate investment trust that primarily invests in diversified portfolio of UK’s commercial property with a motive to deliver its shareholders with high and attractive level of income and capital growth. It is on the official list of the Financials Conduct Authority and its shares are traded on the premium segment of the main market of the London Stock Exchange as LON: SREI.  Its portfolio is diversified across industrial, office and retail sector. It also invests in sectors such as mixed use, hotels, residential, health care and leisure, which are further diversified across location, sector, size, and tenants that can enhance its long-term growth.

The trust uses gearing for enhancing its return and income for its shareholders, which targets debt, net of cash, at a level reflecting a loan of between 25% and 35%. Further the trust pays a sustainable level of quarterly dividends to its shareholders that depend upon current and future market conditions. In the year ending 31 March 2021, the top ten properties in its portfolio included Stacey Bushes Industrial Estate, Millshaw Industrial estate, City Tower (25% share), Bloomsbury (50% shares), St. John’s Park, Headingley Central, Langley Park Industrial Estate, Union Park Industrial estate, Stanley Green Trading Estate, and 106 Oxford Road. It has a diversified tenant base of 299 occupiers with an average weighted lease term of 5.3 years. The trust has no employees and executive directors; its board is responsible for all the operating activities.

Its strategy is to actively manage its assets portfolio and selectively acquire and dispose. Further, it sells smaller properties on completion of asset business plan. It aims to acquire larger assets in Winning Cities and regions with diversified local economies, high demand, and high growth with a good long-term fundamental in terms of location and specification. Its portfolio should not consist of more than 15% of gross assets invested in any individual assets at the date of acquisition and the proportion of the rental income should not be more than 10%, generated from a single tenant. To minimise the interest rate risk through borrowing in a fixed rate basis or through the use of interest rate swaps/ derivatives used solely for hedging purposes.

Contact Information

company address Schroder Real Estate Investment Trust plc Trafalgar Court, Les Banques GY1 2JA Guernsey


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