Acquisition of Sainsbury's in Cheltenham
Supermarket Income REIT
ACQUISITION OF A SAINSBURY'S SUPERMARKET IN Cheltenham, Gloucestershire
Supermarket Income REIT (LSE: SUPR), the UK supermarket real estate investor, announces the acquisition of a Sainsbury's supermarket in Cheltenham, Gloucestershire, from Legal & General for £60.4 million (excluding acquisition costs), reflecting a net initial yield of 5.25%.
Originally developed in the 1980s, the store was extensively refurbished and extended in 2007. Sainsbury's has a long history of trading from this prominent seven-acre site.
The supermarket comprises 62,000 square feet net sales area with a 12-pump petrol filling station and more than 390 parking spaces. The store has multiple purpose-built distribution docks and supports Sainsbury's online grocery fulfilment in the local area. It is being acquired with an unexpired lease term of 13 years with five-yearly, upward-only, RPI-linked rent reviews (subject to a cap and floor).
Ben Green, Director of Atrato Capital, the Investment Advisor to Supermarket Income REIT, said:
"With strong fundamentals, this Sainsbury's supermarket is an excellent addition to our growing portfolio of omnichannel stores and provides further investment diversification."
For further information, please contact:
Atrato Capital Limited
+44 (0)20 3790 8087
Stifel Nicolaus Europe Limited
+44 (0)20 7710 7600
+44 (0)20 7920 3150
NOTES TO EDITORS:
Supermarket Income REIT plc is listed on the London Stock Exchange. SUPR acquires UK supermarket sites that form a key part of the future model of grocery in the United Kingdom. SUPR aims to provide long-term RPI-linked income, from institutional grade tenants and the potential for capital growth through active asset management. Atrato Capital is the Company's Investment Adviser.
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