UK | REITs FY26/1H - Real Estate Operators

Research evidence excerpt

UK | REITs FY26/1H - Real Estate Operators

Jefferies calculation/estimateFY26 15.3% * 25.8% * 29.5% * 3.7x

** including vacancy costsplatform, c.38% average ROI on c.2.8m sq ft of value-add capex over 3 years and 12 yrs of >5% Note: Ranked by Net Debt/EBITDA .

LfL rent roll growth, but EPRA EPS fell 7.8% on FX and finance fees, EPRA LTV rose to 35.8% Source: Company data, Jefferies

and the €400m June 2026 bond redemption is upcoming. BYG’s virtue is b/sheet strength, a

Exhibit 3 - Weekly Total Returns (%)best-in-class 70.5% store EBITDA margin, but LfL occupancy is weak at -1.7ppts, with growth

running at c.2% pa. SAFESTORE HOLDINGS -1.2

SIRIUS REAL ESTATE LD 3.0

SAFE offers geographic diversification and the longest visible pipeline (£30-35m incremental BIG YELLOW GROUP 4.5

EBITDA on stabilisation), but NAV fell c.1% on FX (from FY25) and FY26 EPS is guided (up WORKSPACE GROUP 4.6

YoY) lower due to higher rates. NRR’s strengths are £6.2m fully delivered C&R synergies and NEWRIVER REIT (REG S) 5.2

a stronger b/sheet (LTV down to c.40%, moving to fully unsecured debt); weaknesses are .Source: Refinitiv, Jefferies-2.0 -1.0 0.0 1.0 2.0 3.0 4.0 5.0 6.0

modest scale (£802m) and short 2.5yr drawn debt maturity. WKP’s strengths are portfolio

location and enquiry conversion (77%), but stabilised portfolio occupancy at 81.6%, lower rent Exhibit 4 - YTD Total Returns (%)

per sq ft (-2.1%), and equiv yield drift to 6.7% leave it the most operationally-challenged in the BIG YELLOW GROUP -15.9

group. SAFESTORE HOLDINGS -15.5

WORKSPACE GROUP -11.8

Opportunities: SRE has strategic optionality as GER defence spending and infrastructure SIRIUS REAL ESTATE LD 2.0

stimulus should drive demand for adaptable industrial space, with €156m of acquisitions NEWRIVER REIT (REG S) 14.8