Supermarket Income REIT PLC

M&A Activity • Aug 1, 2017

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RNS Number : 7813M

Supermarket Income REIT PLC

01 August 2017

1 August 2017

Supermarket Income REIT plc ("Supermarket Income REIT" or "the Company")

ACQUISITION OF TESCO EXTRA, THETFORD, FOR £43.2 MILLION

Supermarket Income REIT plc, the UK supermarket real estate investor, announces that it has acquired a Tesco Superstore in Thetford, Norfolk, from M&G Real Estate for £43.2 million, reflecting a net initial yield of 5.35% or 5.55% after the next agreed RPI-linked rent review in December 2017.

The purchase has been funded out of the equity proceeds of the IPO, with senior debt finance expected to be introduced in the near term.

The store comprises 78,000 sq ft (gross) on a 10.4-acre site with more than 500 parking spaces and a petrol filling forecourt. It is being acquired with an unexpired lease term of approximately 12.5 years, which is subject to annual upward-only, RPI-linked rent reviews with a cap at 4% and a floor at zero.

Ben Green, Director of Atrato Capital, the Investment Adviser to Supermarket Income REIT, said:

"We are delighted to announce the first asset purchase by Supermarket Income REIT. This is a store with a strong trading record on site which is adjacent to the future Kingsfleet housing development.  The investment will deliver attractive and growing income, while its location means that there is excellent asset upside potential over the longer term".

FOR FURTHER INFORMATION, PLEASE CONTACT:

Atrato Capital Limited

Ben Green

Steve Windsor

Steve Noble

+44 20 3790 8087

Stifel Nicolaus Europe Limited

Mark Young

Neil Winward

Tom Yeadon

+44 (0)20 7710 7600

Tavistock

Jeremy Carey

James Whitmore

James Verstringhe

+44 (0)20 7920 3150

NOTES TO EDITORS:

Supermarket Income REIT plc listed on the specialist fund segment of the main market of the London Stock Exchange in July 2017. Its objective is to acquire a diversified portfolio of supermarket real estate assets in the UK, providing long-term RPI-linked income, from institutional grade tenants of significant size and the potential for capital growth through active asset management opportunities. Atrato Capital is the Company's Investment Adviser.

This information is provided by RNS

The company news service from the London Stock Exchange

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