Supermarket Income REIT PLC (LSE:SUPR, OTC:SUPIF) said that Fitch Ratings Limited has reaffirmed the company’s existing investment grade.
Fitch gave the real estate investment trust a long-term issue default of ‘BBB+’ with a stable outlook, according to a statement.
A BBB rating suggests Supermarket Income is viewed as a medium-class company which is operating satisfactorily, and is the fourth-highest rating possible.
Fitch Ratings is an American credit agency which rates the viability of investments relative to the likely hood of default.
According to a statement from Fitch, Supermarket Income’s rating reflects the groups growing £1.8bn portfolio, which is focused on larger superstores dominant in their area and offering an omnichannel presence.
The leases are largely inflation-linked defensive income streams which benefit from exposure to a growing, essential-service UK grocery sector.
However, Fitch added the rating is constrained by an inherent lack of portfolio diversity and high tenant concentration.