LXi extends WeBuyAnyCar lease

LXi REIT has agreed a lease extension with WeBuyAnyCar.com’s owner BCA on one of its largest properties. The term of the lease, at a 121-acre storage facility in Corby, has been extended from 16 years to 25 years with no tenant break right. The property, which is mainly used for the occupier’s online sales, has a £61m March book value. Its rent review has been converted from uncapped RPI with no collar, to RPI capped at 2.5% per annum and collared at 1.5% a year. This will provide a minimum rental uplift for shareholders. Rent remains unchanged on the asset, and the first rent review will be five years from the date of the lease extension. BCA also recently bought a freehold comprising an additional 40-acre site next to the company’s property. After the lease restructure, 95% of LXi’s rental income will be inflation-linked or contains fixed uplifts. Additionally, 68% of the income now has a minimum contractual uplift regardless of inflation rates, averaging 2% per year. To send feedback, e-mail pui-guan.man@egi.co.uk or tweet @PuiGuanM or @estatesgazette