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The Markets
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The Markets
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Real Estate

Supermarket Income REIT in talks over sale and leaseback deal with major grocery store chain

Independent valuer Cushman & Wakefield has told the company it that it will not include a material uncertainty clause in its valuation for the year to 30 June

Supermarket Income REIT (LON:SUPR) confirmed today it is in discussions to acquire a portfolio of assets via a sale-and-leaseback transaction with a major grocery operator.

The chain was not named and the trust said there was no certainty a deal would be concluded.

Last month, the group acquired a stake in a portfolio of 26 Sainsbury’s stores through a joint venture with the British Airways Pension Fund.

Supermarket Income also has ten directly owned sites leased on long-term contracts to Sainsbury’s, Tesco and Morrisons.

Earlier, the trust said it had received 100% of rentals due for the June quarter.

Supermarket Income added that independent valuer Cushman & Wakefield had told the company it that it will not include a material uncertainty clause in its valuation for the year to 30 June 2020.

This is in line with guidance from RICS and reflective of the underlying credit strength of its tenants and the sustained investment demand for grocery property, said the company.

Shares rose 1% to 110.25p.

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