Sirius Real Estate’s H1 trading: 5.2% like-for-like rent roll growth and a 15.2% uplift year-on-year
Sirius Real Estate has reported a solid first half to 30 September 2025. Rent roll is up 15.2% year-on-year, helped by a busy acquisition programme, while like-for-like rent roll rose 5.2% on a constant currency basis. Management says the Group is on track to deliver full year results in line with expectations.
Quick definitions: rent roll is the annualised rental income at a point in time. Like-for-like strips out acquisitions and disposals to show underlying growth. Sirius translated Group rent roll at a constant GBP:EUR 1:1.145 to give a clean comparison.
Key numbers at a glance
| Metric | Detail |
|---|---|
| Like-for-like rent roll growth | 5.2% (constant FX at GBP:EUR 1:1.145) |
| Total rent roll growth (year-on-year) | 15.2% |
| Acquisitions in calendar 2025 | Nearly €300 million |
| Free cash reserves | Approximately €400 million at 30 September 2025 |
| New revolving credit facility | €150 million (undrawn) |
| 2028 bond tap | €105 million |
| Next debt maturity | €400 million bond due June 2026 |
| Portfolio size | 145 assets, 10,477 tenants, >€2.7 billion book value (31 March 2025) |
| Annualised rent roll (31 March 2025) | €221.4 million |
Germany: steady growth now, with valuation upside in sight
Like-for-like rent roll growth in Germany was reported at above 5%, despite the first half typically being seasonally weaker due to move-outs and sales. The key driver was higher renewal rates, which is a healthy sign that existing tenants are sticking with Sirius and accepting rent uplifts.
Management flags that transactional markets in German industrial are notably stronger, and they expect this to translate into asset value growth this year, in line with rent roll momentum. If that comes through, it supports net asset value and provides headroom for further acquisitions.
U.K.: rate-led growth but flat valuations for now
In the U.K., like-for-like rent roll growth was also above 5% and, again, mainly rate-led with a focus on renewals. That excludes the large Vantage Point asset in Gloucester, acquired in April 2024, where Sirius has intentionally “churned” the tenant base – industry shorthand for deliberately rotating tenants to re-price space and improve mix.
Here’s the nuance. Sirius has churned the site’s largest tenant and re-let one third of the resulting vacancy at a rate that replaces half the previous rent, while refurbishing the remainder. Because Vantage Point was concentrated in one tenant at acquisition and remains in active turnaround, it’s excluded from like-for-like figures for now. With it included, management says like-for-like growth would still be comfortably positive in the U.K. and at Group level.
On valuations, the U.K. picture remains held back by macro uncertainty. Sirius is expecting flat valuations in the U.K. portfolio for now, with the upside case resting on executing asset management plans in the most recently acquired sites – including the transformative Hartlebury Trading Estate in Worcestershire, which added 18% of new space to the U.K. platform.
Acquisitions and operating platform: turning capital into growth
Sirius has deployed nearly €300 million into acquisitions across Germany and the U.K. so far this calendar year, completing the use of proceeds from the July 2024 equity raise. The strategy is familiar but effective for the business: buy at attractive yields, then drive value through occupancy and rate, reduce service charge leakage, and reconfigure layouts to match local demand.
The platform continues to expand its capabilities. A new Property Director – Self Storage, Tom Lampard, is energising the storage offering and scouting new build opportunities on under-utilised land. The Group is also generating leads through its defence initiative after appointing Major General (Retd) Angus Fay CB, which is an interesting angle given the demand profile of that sector.
The acquisition pipeline remains strong, particularly in Germany, and management expects to announce further deals in the coming quarter with a greater bias to Germany than in the first half.
Balance sheet, liquidity and maturities: plenty of firepower
Funding remains a clear strength. Sirius signed a new €150 million revolving credit facility, which is undrawn, and tapped its 2028 bond for €105 million. Combined, free cash reserves were approximately €400 million at 30 September 2025.
The next maturity is the €400 million bond due in June 2026. Management says there is ample liquidity to repay this while continuing to acquire assets in the coming months. They also expect Group-level property valuation increases at both the half year and full year, which would add further balance sheet headroom. In short, Sirius has the capacity to keep investing without overreaching.
Quick jargon recap: a revolving credit facility (RCF) is a flexible line of credit a company can draw and repay as needed. A bond “tap” is an additional issuance of an existing bond, raising extra debt on the same terms.
Why this update matters for investors
- Underlying momentum intact – 5.2% like-for-like rent roll growth is respectable in a mixed macro backdrop, with both Germany and the U.K. contributing.
- Valuation direction improving – management expects German industrial values to firm and overall Group valuations to rise at the half and full year.
- Balance sheet strength – approximately €400 million of free cash reserves and an undrawn €150 million RCF give Sirius room to manoeuvre ahead of the June 2026 maturity.
- Asset management doing the heavy lifting – renewals, pricing discipline and re-tenanting at Vantage Point point to embedded growth not yet in the like-for-like base.
Balanced view: positives and the watchlist
What looks positive
- Consistent like-for-like rent growth above 5% in both core geographies.
- Clear acquisition execution, with nearly €300 million deployed into assets that offer multiple levers for value creation.
- Liquidity runway ahead of the 2026 bond and a pipeline that is “strong” with a tilt back to Germany.
- Expectation of Group valuation uplift supports net asset value and further investment.
What to monitor
- U.K. valuations are expected to be flat near term – that keeps NAV sensitive to macro, making delivery of asset management plans crucial.
- Vantage Point progress – the re-let at half the previous rent on one third of the churned space is early innings. The pace of refurb and leasing on the remainder will be key.
- Seasonality in Germany – H2 is guided to accelerate, but investors will want to see that come through in the November results.
Next catalysts and dates
Sirius will report half year results for the six months ended 30 September 2025 on Monday, 17 November 2025, including an in-person presentation and virtual webinar. The RNS notes that today’s trading update figures have not been reviewed by external auditors.
Bottom line
This is a confident update. Like-for-like rent roll is advancing, the acquisition machine is active, and the balance sheet is set up to support both investment and the 2026 maturity. Germany looks positioned for valuation tailwinds, while the U.K. is about execution – with Vantage Point the standout project to watch.
On track for full year expectations and talking up valuation gains is a constructive signal. The upcoming half year results should show whether that momentum is indeed accelerating into H2.
