Segro, the FTSE 100 warehouse and data centre landlord, has reported robust third-quarter trading, with new rents contracted year to date running 32% ahead of the same period last year.
The group secured £70 million of new headline rent in the nine months to 30 September 2026, with £42 million from its existing portfolio and £28 million from development lettings.
UK rent reviews, renewals and regears delivered an average uplift of 43%, reflecting continued mark-to-market gains across the portfolio.
Occupancy edged up 20 basis points to 94.7% since the half year, with customer retention remaining high at 80%.
Development completions totalled 152,500 square metres of new space so far in 2026, equating to £13 million of potential headline rent, of which 59% has already been secured.
The pipeline of projects under construction or in advanced negotiations has grown to £103 million of potential rent, with two-thirds underpinned by pre-lets.
Segro is in advanced negotiations for its first fully fitted data centre in west London, developed through a joint venture with Pure DC, and expects to sign a pre-let with a major hyperscaler in the coming months.
The group completed £223 million of disposals above book value in the year to date and has a further £57 million exchanged and due to complete before year end.
Discussions are also progressing on a new UK big-box logistics joint venture expected to generate around £500 million of net proceeds.
The balance sheet remains solid, with a loan-to-value ratio of 33% and £1.2 billion of available liquidity.
Shareholders approved Segro's combination with Prologis, the US logistics giant, at a court meeting on 28 September, with the transaction expected to conclude in the first half of 2027.
