Regional REIT said it reduced borrowings to £243.8 million and cut its loan-to-value ratio to 38.5% in the first half of 2026, after selling £21.5 million of mostly vacant properties. The company completed 26 new lettings generating £1.9 million of annualized rental income, including a 20-year Glenair lease for nearly 150,000 square feet in Nottingham expected to produce more than £1 million of annual rent, though core portfolio occupancy fell to 82% from 86% at December 2025. Regional REIT paid a fully covered half-year dividend of 4 pence per share and said it remains on track for its 8 pence full-year target, with EPRA earnings of £6.8 million. Two further sales totaling £4.3 million closed after the period, and 11 assets under contract or in late-stage talks represent about £32 million of potential proceeds; if completed, 2026 disposals could reach roughly £58 million and lower year-end LTV to approximately 35%. Management said a planned refinancing with Scottish Widows and other lenders could raise all-in borrowing costs to the low 6% range, about 3 percentage points higher, with documentation expected by the end of the first quarter of next year.
Regional REIT LtdNamed as a lender in Regional REIT's planned refinancing that could raise all-in borrowing costs to the low 6% range; no direct impact on Scottish Widows stated.
