Charter Hall Long WALE extends Inghams Lease
Charter Hall Long WALE REIT announced that it has entered into an agreement with Inghams in relation to an extension of the lease terms on a number of properties in the portfolio which was recently acquired by the REIT.
The leases of properties representing 62% of the recently acquired portfolio by income have been extended for terms ranging from 22 years to 34 years.
Details of the extended lease terms are as follows:
15% of the portfolio by income has been extended to a WALE of 22 years;
16.5% of the portfolio by income has been extended to a WALE of 30 years; and
30.5% of the portfolio by income has been extended to a WALE of 34 years.
This has resulted in the Inghams portfolio WALE increasing from 15.8 years to approximately 24.6 years.
The REIT will provide Inghams with an $8 million capital incentive as part of this arrangement. Including the extensions, the REIT’s pro forma portfolio WALE as at 31 December 2018 increases from 11.6 years to 12.6 years.