Tritax Big Box REIT plc (BBOX) Earnings Call Transcript & Summary

Good morning, and welcome to our results presentation for the first six months of 2026. I'm Colin Godfrey, CEO of Tritax Big Box. As usual, I will kick off with our key messages before Frankie, our CFO, provides an update on our financial and operational performance. I'll then outline the substantial strategic progress that we've made in the period before opening the lines for Q&A. The key message that I want to deliver this morning is that we're exceptionally well positioned to take advantage of the significant opportunities inherent within our business and the broader market. We continue to deliver against our key growth milestones and with a near doubling of secured power for our data center pipeline, we're increasing our EPS growth ambition to 65% by 2031 or sooner from 50% by 2030. The first half of 2026 has been defined by strong execution and a series of important strategic milestones across the business. Active asset management and capture of rental reversion has delivered strong income growth, and we've been doing this at pace. Supported by a successful disposal program, we've recycled capital from lower returning assets to generate superior risk-adjusted returns and provide a key source of funding flexibility. Since January 2023, we have redeployed more than GBP 1 billion into higher-returning opportunities. In development, our agile platform continues to create future income opportunities at attractive yields on cost, allowing us to align development activity with market conditions and allocate capital selectively. Just 18 months after entering the data center sector, we have already made meaningful capital value development gains, rental income and earnings growth as schemes are delivered. Together, these achievements have delivered another period of strong financial performance with growth in net rental income, earnings and dividends, which Frankie will cover in more detail shortly. They demonstrate the earnings power of our platform and the significant opportunity ahead as we continue to progress towards our long-term earnings ambition. Yesterday afternoon, we announced the exciting news that we have secured a further 235 megawatts of power for our data center pipeline. This is another major milestone, building on successful granting of planning permission at Manor Farm in the period. This incremental power is phased for delivery in 2030 to 2031 and nearly doubles our secured power to 507 megawatts. It is connected to two additional schemes, which have the potential to deliver exceptional risk-adjusted returns with a yield on costs of between 9% and 11% and a profit on cost in excess of 50%. The proposed equity issue unlocks the next wave of the data center pipeline, securing the early-stage and longer-term CapEx requirements of these two schemes, complementing our ongoing Capital Recycling Program. These two new schemes give us the potential to nearly double our expected data center rental income from the GBP 58 million that we announced for the Manor Farm and Chelmsford projects to between GBP 107 million and GBP 119 million. It is this additional opportunity, which gives us the confidence to increase our adjusted EPS growth ambition to 65% by 2031 or sooner, up from 50% by 2030. Given commercial sensitivities and as was the case with Chelmsford, we are not disclosing the precise location of these two new schemes. However, they are both in the prime Greater London Availability Zones. This is further evidence that our power-first approach is working, creating exciting prospects in data centers with the potential to deliver exceptional risk-adjusted returns across a current total opportunity of over 1 gigawatt of potential power capacity. With that, I'll hand over to Frankie to cover the financial and operational review. Frankie?

Thank you, Colin, and good morning, everyone. This first half reflects another strong period of disciplined execution across the business with consistent delivery across asset management, capital recycling and progress with our development opportunities. This has translated into strong earnings growth, along with creating significant future opportunities to deliver value to shareholders. Starting with the headlines. The portfolio generated 5.1% EPRA like-for-like rental growth, more than double the level of the prior period. Adjusted EPS, excluding all DMA income, increased by 7% to 4.41p. And the dividend grew to 4p per share, a 4.4% increase. Our portfolio value was GBP 7.7 billion, reflecting net disposals and modest valuation movements, resulting in a 1% reduction in EPRA NTA per share to 185.9p. Turning to the income statement, which highlights our recurring earnings and dividend growth. Net rental income increased by 16.2% to GBP 173.3 million, driven by the contribution from the Blackstone portfolio acquired in October 2025 and strong like-for-like rental growth. Operational efficiencies reduced the EPRA cost ratio, excluding vacancy costs, to 12.2%. This remains one of the lowest in the European real estate sector as the bottom right-hand chart shows. As a result, operating profit increased by 6.1%. We have taken the opportunity to simplify our disclosure around earnings, which we now quote fully inclusive and fully exclusive of DMA income. Adjusted EPS, excluding all DMA income, increased by 7% to 4.41p. Adjusted earnings per share was also 4.41p with no DMA income recognized during the period. And the dividend represented a 91% payout ratio. The right-hand chart sets out the moving parts of annual contracted rent over the period. And with the ERV of the portfolio 29% ahead of contracted rent, this shows that looking forward, there is still plenty of income growth to deliver. Our capital allocation framework remains unchanged. We continue to recycle capital from lower returning assets into higher risk-adjusted returns. At 30 June, the LTV had reduced to 32.9%. And when including post period-end disposals, reduces further to 32.1%. Despite some softening in prime yields, EPRA NTA per share declined only 1%, reflecting portfolio resilience and was offset by value created from our active asset management and development activity. We completed GBP 259 million of disposals during the half, averaging 2% above prevailing book values and GBP 344 million in the year-to-date. Just to highlight how effective we have been funding our strategy in recent years, this takes total disposals over a 3.5-year period to over GBP 1 billion. As ever, CapEx invested over the period is reflective of specific circumstances in relation to our development sites. The planning delay at Manor Farm has been well communicated, and this was coupled with a delayed planning decision at a logistics site. Our logistics CapEx, including development and asset refurbishment, therefore, has been lower than anticipated this half with a combined GBP 79 million invested. CapEx in half two is set to increase, and I will update you on how we see the remainder of the year on a later slide. Total accounting returns were impacted by the capital value performance across the portfolio of minus 0.2% for the period. Our 2.3% earnings yield for the six months was partly offset by a combined 0.9% reduction across our investment and logistics development portfolios as our equivalent yield moved out by 10 basis points to 5.8%. Like-for-like ERV growth remained healthy, however, at 1.9% for the six months. We are now starting to see value delivered from our DC pipeline with a 0.5% positive contribution in respect of the Manor Farm planning delivery. Together, this produced an underlying total accounting return of 1.6% for the six months and a reported total accounting return of 1.3% after a land option impairment and the Blackstone completion statement true-up effects. Importantly, these returns do not yet reflect the full earnings and shareholder value potential embedded within the business. The benefits from the Blackstone portfolio are only just beginning to flow through, while the most significant value creation opportunities associated with our data center platform remain ahead of us, which I'll talk to in a moment. Now looking at our three growth drivers. First, asset management, which continues to deliver attractive and highly visible earnings growth. Across all lease events, we have secured GBP 8.6 million of additional annual rental income, over 50% higher than the same period last year, delivering an average 10.5% uplift in passing rents. With a larger part of the portfolio subject to lease events in the period, this has led to our strong EPRA like-for-like rental growth of 5.1%. In our 2025 annual results, we signaled GBP 26.9 million of potential reversion capture for this year, and we're making good progress looking at the bottom left-hand chart. First, we have captured GBP 6.5 million of rental reversion through lease events in the first half, achieving 100% of the potential that we previously indicated. Second, we have GBP 4.5 million of rental reversion attached to half one lease events, which are currently in progress. To remind you, we have a policy of accruing 75% of this from the rent review date. And thirdly, the second half events are even more significant with over GBP 15 million of rental reversion available in half two. Portfolio vacancy was slightly higher overall, but this reflected net development activity. Underlying vacancy remained stable at 3.1%. Logistics development is our second growth driver. We currently have 1.2 million square feet under construction, representing GBP 13 million of potential additional rent with 78% of this already secured via pre-leasing. We completed 0.6 million square feet of new space with potential rent of GBP 6.9 million at an expected yield on cost of over 10%. This very attractive yield reflects later phases of schemes where land and infrastructure costs have already been borne within previous phases. Further, we secured development lettings in the period, adding almost GBP 5 million of annual rent and achieved an average yield on cost of around 7.5%. And Colin will expand upon some of the positive forward-looking indicators that we are seeing in a moment. Now turning to data centers, our third growth driver. On the left is a reminder of the key features of our power-first approach. An attractive component is that most of the value is created before construction begins. This illustration shows that approximately 60% of expected development profit is captured through delivering power, planning and pre-letting. At Manor Farm, we had recognized approximately 20% of scheme profit at 30 June, stepping up to 30% in July after clearing the judicial review period. And with the pre-lease expected in half two, we expect to recognize 60% of scheme profits by the financial year-end. At Chelmsford, around 10% of scheme profit had been recognized at 30 June. With planning permission pending, we expect to recognize at least 30% by the year-end. Overall, this could translate to up to GBP 100 million of data center development profit being recognized this current year. Sustainability remains integral to our strategy and supports all three growth drivers. We continue to progress across the four pillars of our framework, including increasing rooftop solar, biodiversity, communities and carbon reduction initiatives. We're also developing a dedicated sustainability approach for our data centers, which we believe will differentiate our projects, and we will talk more about this in future presentations. Our balance sheet remains a competitive advantage, supported by our staggered, diversified and long-term debt portfolio. We ended the period with an LTV of 32.9%, approximately GBP 530 million of available liquidity, four years average debt maturity and an average cost of debt of 3.6%. Pulling out the middle chart on this slide, which highlights an important point. Even if interest rates remain elevated and refinancing occurs at prevailing market rates, existing portfolio rental reversion far exceeds projected medium-term financing cost increases. And this is before any further rental growth is factored in. So overall, our balance sheet strength provides us with substantial flexibility to fund our future growth opportunities. Looking now at some forward guidance. Given the lower CapEx deployed in this first half, we have updated some of the current year figures in this table to reflect this. We expect to deliver up to GBP 400 million of disposals during the full year 2026 and are well on track given year-to-date activity. We continue to see annual logistics development CapEx of GBP 200 million to GBP 250 million over the long term. And given the development of the broader data center opportunity in the period, we are upgrading our CapEx targets for data centers from next year, effectively doubling these to between GBP 200 million and GBP 400 million per annum at a targeted yield on cost of 9% to 11%. To conclude, the business continues to combine strategic delivery with financial strength, supported by our robust balance sheet. Together, these support our three growth drivers: asset management and capturing rental reversion; logistics development; and our data center pipeline. It's this combination augmented by the news of new power connections being secured and new equity capital to support enhanced DC development, which positions us to achieve our upgraded adjusted earnings per share growth ambition of 65% by 2031. Now I'll hand you back to Colin for the strategic update.

Thanks, Frankie. I've never before been more confident in our ability to create long-term value for shareholders. We've built a unique platform in the most exciting segments of U.K. real estate, a market-leading logistics portfolio with significant embedded rental growth, an agile logistics development platform and a hugely compelling and growing opportunity in data centers. These foundations established over the last decade have created a broader opportunity set than ever before, while remaining supported by high-quality income-producing assets and a strong balance sheet. As a result, we are extremely well positioned to continue growing earnings and creating significant value for shareholders over the long term. Starting with a high-level summary on the market. Demand led by e-commerce occupiers is healthy at 10.9 million square feet and supply remains constrained with limited speculative development starts. Vacancy remained stable at around 7%, while rental growth was 2.1%, in line with our portfolio. Investment market activity suppressed in the spring due to the geopolitical events shows sign of improvement with high-quality logistics assets continuing to attract investor interest, albeit that there has been some modest yield softening. Against this backdrop, our portfolio has performed well, reflecting its quality and positioning, and we are optimally placed to capture further growth. We've developed our strategy so that the business can thrive in all market conditions. Our objective remains unchanged to convert structural demand across logistics and data centers into superior risk-adjusted returns for shareholders. We achieved this through owning and developing high-quality assets and directly and actively managing them. We are client-focused, sustainability-led and differentiated by our entrepreneurialism. The value that we're delivering is from three distinct and powerful growth drivers. First, capturing rental reversion and creating value through active asset management. Second, delivering logistics developments at attractive yields on cost through an agile and capital-efficient development platform. And third, generating exceptional returns from pre-let data center developments through our innovative power-first approach. Together, these growth drivers provide attractive, high-quality income growth and substantial long-term value creation opportunities. Our portfolio is a significant competitive advantage. It's a deliberately curated, market-leading collection of modern and mission-critical logistics assets in the U.K.'s most important distribution locations leased to world-leading occupiers and generating highly resilient income. Supported by a triple net lease structure, it delivers high quality and resilient cash flows, providing a strong platform for embedded and sustainable earnings growth. Turning then to our growth drivers. Building on the compounding nature of our rental income, our first growth driver remains one of the most compelling opportunities available to us. Market rental growth has been replenishing our portfolio rental reversion at the same rate that we have been capturing it, which is why our attractive level of reversion of over GBP 100 million has remained broadly unchanged. Importantly, this growth requires little or no capital investment. We have a long-established track record of meeting or exceeding market rental values when opportunities arise. During the first half, we captured 100% of available ERV. As shown here on the right, we estimate that more than 70% of today's rental reversion can be captured within the next three years. This is highly visible, high-quality and capital-light earnings growth that remains within our control to deliver. Following the successful acquisition of UKCM, the nonstrategic asset sales have been above the purchase prices in aggregate, and we now have the final asset in solicitors hands. Enhancing our urban small box opportunity, the Blackstone acquisition significantly increased our rental reversion and is performing strongly with contracted rent up 4.4% and more to come. Our direct approach to asset management is producing compelling results, having completed 14 new lettings, adding around GBP 2 million of income and delivered average uplifts of 42% at rent review, representing a new asset event every two days since acquisition. The examples on the right highlight the opportunity to deliver compelling rental income growth. Contracted rent has increased by 56% at Gatwick distribution point and 33% at Stirchley Trading Estate since acquisition. Taken together, this demonstrates that the Blackstone portfolio is performing with and in some areas ahead of our original expectations. Our second growth driver is logistics development. With more than GBP 360 million of future rental income potential, this remains one of the largest and most attractive development portfolios in the U.K. market. Through our agile and capital-efficient approach, we target yields on cost of 6% to 8%, with recent activity towards the top end of that range. Development activity in the first half was lower than prior periods, reflecting planning timetables on a small number of schemes rather than any change in occupier demand. And as we've shown on the right, we have pre-lets in solicitors' hands, advanced discussions across several opportunities and strong occupier inquiry levels. Combined with our capital efficient and land option model, this leaves us well positioned to accelerate delivery as schemes move through the pipeline and operational demand crystallizes. Data centers represent a significant additional growth opportunity and are already contributing to performance. Market demand continues to accelerate, driven by hyperscale cloud, AI and data sovereignty requirements, while power constraints continue to limit new supply. As a result, occupiers are expanding beyond traditional West London locations into new markets where power is available. These conditions play directly to the strengths of our lower-risk power-first strategy, creating opportunities to deliver projects of scale for leading operators. This third growth driver is a particularly exciting part of our strategy because we're at the early stages of the journey, and there is so much more to come. Manor Farm demonstrates why our power-first approach to data centers is so valuable in a power-constrained market. With power and planning consent secured, we now own an exceptionally scarce asset of scale in one of the world's most important data center locations. This has attracted significant occupier interest with a pre-let imminent. As Frankie highlighted earlier, all of this supports a meaningful uplift in NTA with development profits preceding attractive rental income at a 9.3% yield on cost, creating exceptional risk-adjusted returns. This is our power-first approach in action. And the really exciting news is that Manor Farm is just the start as we are today announcing two further schemes, which nearly double the amount of our secured power. As we outlined on the left-hand side of this slide, our first two schemes have the potential to deliver approximately GBP 58 million of annual rent at an attractive 9% to 11% yield on cost, with planning secured at Manor Farm and Chelmsford not far behind. They are already contributing to NTA growth with capital value gains in the period. As mentioned, we have secured an additional 235 megawatts of power, enabling an additional two schemes in the Greater London Availability Zones, as shown in the middle of the slide. This near doubling of our secured power also gives us the capability to nearly double the potential data center rental income that we can generate of between GBP 107 million and GBP 119 million per annum at compelling yields on cost, supporting an increase in our EPS ambition. These secured schemes form part of a total current opportunity of over 1 gigawatt, offering the potential to deliver exceptional income and capital returns over the medium term. Bringing everything together, you'll be familiar with this bridge, which illustrates the scale of the opportunity ahead, giving us the potential to nearly double our rent roll in the medium term. So starting with today's passing rent on the left, we show how our three growth drivers can deliver materially higher earnings over time. Rental reversion provides the largest near-term opportunity driven by lease events and active asset management. Logistics development adds a substantial layer of potential future income and capital value growth through pre-lets, completions and the continued replenishment of the pipeline. Data centers provide a significant additional source of both income growth and value creation, beginning with Manor Farm and Chelmsford and the contribution of the new schemes of GBP 55 million, effectively providing approximately GBP 113 million of rental income. And while this bridge shows the rental income potential within the business, we also expect to deliver significant NTA growth, which will support total accounting returns. This is particularly relevant to our data center pipeline, where meaningful development gains will drive NTA growth ahead of significant rental income contributions. So, in conclusion, we have never been more confident in the opportunity ahead. Our high-quality portfolio with substantial embedded rental growth, agile development platform and exceptional data center opportunities provide multiple pathways to grow income significantly and create substantial value. Supported by a strong balance sheet and disciplined capital allocation, we believe that we are very well positioned to deliver our enhanced earnings growth ambition. Thank you for joining us. That concludes the formal part of our presentation. I'll now hand over to Ian for your questions. Ian?

Good morning, everyone, and welcome to the live Q&A part of the presentation this morning. We'll begin by taking calls from the phone lines, and then we'll move over to the webcast to your questions there. This is a reminder on the webcast, there is a chat box you can put your question into, and we'll try to get as many as we can and where possible, we try and aggregate similar questions thematically. So with that, I'll hand over to Laura, who I think is helping us on the phone, and take our first question from there.

[Operator Instructions] We will now take our first question from John Vuong of Kempen.

So you haven't started any developments in logistics in the first half, which I understood is partly driven by planning. At the same time, you have delivered some vacant developments. So just tying this together with your data center ambitions and the 2030 to '31 EPS growth target, how should we see the split of growth between the two sectors going forward?

Yes. John, thanks for your question. So, on development outlook, I think we're going to be second half weighted in terms of our delivery from development this financial year. We expect the CapEx to increase as we move through second half. We've got a number of deals in solicitors' hands and lots of active discussions going on. So, we expect a pickup there through half two. I think as we look at the sort of five-to-six-year journey, certainly, the front half of that from an income delivery perspective is going to be development led, logistics development led. We expect our first data center to come on stream from 2028 onwards. So 2028 onwards, there will be the DC income, which will give that EPS real acceleration as we move into the 2030, 2031 period. So, first half, logistics driven; second half, data center driven across that timeframe.

Okay. That's clear. And just on Chelmsford, I noticed that there's again some fees payable to the manager as well as a profit share similar to Manor Farm. Just to confirm, is the targeted yield on cost of 10% to 11% net of all these fees? And following up on that, should we also expect a similar fee structure for the two new schemes?

Yes, it is net. And the Board has yet to agree the fee structure for the two new schemes, but that will be confirmed at the time.

Okay. That's clear. And just on the yield on cost target for the two new schemes, what's the swing factor between the lower end and the high end of the range? Is that driven by these fees? Or is there another factor, for example, the type of tenant that you would be looking at?

No, it's just to give room for maneuver. I mean, obviously, there are many varying factors that can impact on the yield on cost. And it partly depends on location and the type of building that we're creating. So Manor Farm, by way of example, is 9.3% target yield on cost. That's quite precise. Most of the other schemes that we are looking to deliver in double digits. But in uber prime locations, you can expect that to be slightly under double digits. And in prime locations such as Chelmsford, you could expect it to be into double digits. So it just gives us a range to explain the type of difference in the locations that we are targeting.

We'll now move on to our next question from Paul May of Barclays.

Just three quick questions from me. Could we see part of the equity raise today is effectively a bit of a backfill on the Blackstone portfolio acquisition, just to provide some equity for that given leverage increased through that deal and the income accretion doesn't come for quite some time from the data centers? And secondly, just following on from John's question really, given the obviously difficult warehouse development situation, is it not more accretive, especially on a risk-adjusted basis in the large acquisition opportunities similar to that Blackstone deal? We understand there are opportunities available and more coming as private funds refinance at higher rates. And then the final one, what justification do the valuers have or provide to you for the 4.38% net initial yield? There doesn't seem to be any transactional evidence for this. So, I just wondered what the basis is, what your comfort is on that valuation.

Paul, do you mind just repeating that last part of your third question, just we didn't quite catch the number there.

The 4.38% net initial yield, it doesn't seem to be supported by transactional evidence. And I just wonder what gives you and your valuers comfort at that level of yield the valuation.

Well, look, to start off, Paul, thanks for your questions. It's Colin. The first thing to say is that, no, we're not backfilling. We're really happy with where the LTV currently sits. It's in line with business plan. We've successfully executed GBP 344 million of sales year-to-date and over GBP 1 billion of sales over the last 3.5 years, all in aggregate above our average valuation levels. So, I think that partly talks to one of your other questions about lack of evidence. I mean we've proved our NAV time and again in selling everything across our portfolio, long income, short income, older buildings, shorter buildings, high-quality covenant income, et cetera. So that's the first answer. Second one, regarding our warehouse development. I mean, look, markets ebb and flow a little bit. These are big buildings, and we're pretty confident in the pickup in the second half and the significant level of activity we've got ongoing should be seen in that period and into 2027. Acquisitions naturally will fulfill part of our thinking. And you've seen us very active in that space in the acquisition of UKCM and of course, the Blackstone portfolio, but it's part of a broad set of opportunities that we will continue to consider with the Board and ensuring that we're making the best possible decisions for shareholders right the way across the business in terms of opportunity set, whether that's organic or through acquisitions.

Just going back on the disposals you mentioned improving valuations. I appreciate they improve the valuation of those sales. But I just wondered on that 4.38%, that is very tight. There doesn't seem to be much activity at that kind of level. Certainly when I speak to the people in the market, they kind of scoff at that kind of number. Just wondering what gives you the confidence on your remaining portfolio?

Yes. I think the net initial yield is not really the metric. It's the numeric underpin to the equivalent yield and the reversionary yield and the timing of delivery of the reversionary yield that's driving market interest. I mean, it is fair to say that liquidity has slowed a little bit, and we have seen a two agencies move out their prime yield by accord of a point. You've seen that play out in our NTA. So, we're keeping a close eye on that. But we think that across the market, we're in a pretty good shape in terms of the quality of our real estate and the liquidity of our properties, which we've proved time and again. So, but obviously, that's a consequence of geopolitical risk and macroeconomic backdrop that's impacting on confidence in the marketplace. But we do still see a significant amount of investment looking to get into logistics assets.

It's probably fair to say that as you capture the reversion in theory, your value doesn't increase materially, but your earnings obviously move in the right direction. Is that the right way to, I think your message yield will expand as you capture the reversion potential.

Well, that's correct to one degree. But of course, as we've been capturing the reversion, market rental growth has been very healthy and the reversions continue to be replenished. So it's being replenished at the same rate as we've been capturing it, which is why we still have a 29%, in fact, slightly ahead at a new record level of reversion of 29.2%. So there's still a lot more to come there, Paul. And of course, the process of capturing that is helping us move up the yield curve progressively over the course of the next few years.

Paul, could I just add that I think from a valuer's perspective, the topped-up net initial, the 4.7% that we quote is more akin to that, not the 4.4 and the equivalent is 5.8%. So I view net initial 4.7, equivalent 5.8 at 30 June.

Yes, the 5.8% is far more important metric to the market.

We'll now take our next question from Christen Hjorth of Deutsche Bank.

Just two from me. So first of all, when you sort of think about risks of delays on DCs three and four, which unfortunately in the U.K. is something we want to consider. To what extent is that being factored into the time lines that you've set out? And second, obviously, a good performance on the cost ratio in H1. How should we think about that going forward? Should we have a degree of operational gearing, particularly around the data center piece as the rental income starts coming through from that at the back end of the decade?

Yes. Thanks for the question. So on the DCs, I think our experience at Manor Farm was an extreme case where we had to go to appeal after delays in local authority determination. It was then subject to a consideration by the inspector and then was called in by the government. We don't expect any of our subsequent schemes to take nearly that long. Chelmsford is being dealt with by way of, it's an allocated site and it's being dealt with by way of the delegated power to the local authorities. So it doesn't even go to committee. And as for the two new schemes, we see those sitting within the bookends of those two extreme cases that I've just outlined. So yes, we have factored in what we believe is appropriate time lines given that experience into the timetable that we've outlined and that Frank has just mentioned with income delivery from Manor Farm first full year '28. And then the last scheme expecting to be fully income producing in 2031. Frankie, would you like to take the cost ratio?

On the cost ratio, obviously, it's something we keep a keen eye on. We have been driving that down in recent periods. I think as we look forward over the time frame that we're talking here with DC delivery, there's plenty of scope to drive that a lot closer to sort of the 10% mark from a net per cost ratio perspective.

And we'll now take our next question from Andrew Saunders of Shore Capital.

I've got two questions, if I may. First one, just how the equity raise might change your thinking on planned disposals and further debt drawdown going forward, perhaps where we might see leverage settling out over the next five years or so? And secondly, if we can just talk about the reversion opportunity. Perhaps you can just flesh out for us how much of that actually sits with the urban logistics portfolio? And I think you sort of touched on that with the Blackstone deal. Perhaps just give us a flavor of where the sort of greater upside sits between Big Box and Urban Reversion.