23 April 2026
If you are covering Segro’s Q1 trading statement, please see the following comment from Oli Creasey, head of property research at Quilter Cheviot:
“Segro's first quarter trading statement shows a company in good health. The industrial REIT is seeing signs of leasing momentum, signing £23 million of new rent in the first quarter of 2026, which compares very favourably to the £13 million signed in the equivalent period last year. The company's occupancy rate is also improving, up 1% year-on-year to 95%. While management is watchful of the geopolitical situation, they have remarked that the Middle East conflict has not had any impact on leasing momentum so far, which is encouraging.
“The company continues to capture upside from rent reversion, as existing tenancies are reset to market rates via rent reviews or renewals. While the 19% overall uplift for the first quarter of 2026 is strong, it does represent a slowdown compared to equivalent figures for 2025. However, it is possible that this quarter's number is based on a relatively small sample size or skewed to European properties where the uplift is typically smaller given different lease structures.
“The 38% uplift for UK assets is very strong, and while there is some concern that the era of extreme rental growth in UK industrial property is coming to an end, this still represents an annualised growth rate of around 7% which is comfortably ahead of expectations in other property subsectors.”
