I just had a look at my records of Segro. First bought in September 2007 at 543p, then added to in the odd rights issue in 2009, associated with taking over Brixton Estates, and in the open offer at 285p. Added some more in 2011 at 223p, then took up the 1/5 rights in 2017 at 345p. Early in February 2018 they went overweight at 590p, so 25% sold. Again in November 2019 at 887p, a further 25% sold. Finally in July 2020 a further 25% went at 966p. Last night at 1288p, they have given me an IRR of 10.57%. With the yield down under 2%, they are on the cusp of being sold for low yield, but as they continue to grow I am in no hurry. If they went they would be replaced by another REIT, like BBOX for example.
Looking at the data since 2010, after the Brixton merger, I see:
Year Dividend Price Yield
2010 14.10 3.23 4.37%
2019 20.15 8.87 2.27%
Up 42.91% 174.56%
2020 21.30 9.84 2.16%
Up 5.71% 10.96%
2021 22.60 11.94 1.89%
Up 6.10% 21.34%
The growth in price has been more than the growth in dividends, hence the reduction in yield. The prices are those at declaration of the interim dividend in each calendar year mentioned. The dividends are the sum of the final and the next interim in each case. In my view growth of dividend trumps reduction in yield.
TJH