Supermarket Income REIT PLC Buys Scottish Tesco Store for GBP50 Million

By Oliver Griffin Features Dow Jones Newswires

Supermarket Income REIT PLC (SUPR.LN) on Wednesday acquired a Tesco Extra supermarket in Cumbernauld, Scotland, from Legal and General for 50 million pounds ($66.9 million).

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The company said that the acquisition deal reflected an initial net yield of 5.5% after the next agreed retail price index-linked rent review next March.

The 9.5 acre site comprises a 117,000 square foot Tesco Extra store, approximately 570 parking spaces, and a 12-pump filling station.

Supermarket Income REIT said that site has been acquired with an unexpired lease term of 23 years with annual, upward-only, RPI-linked rent reviews on full repairing and insuring items.

The acquisition was funded by a GBP20 million equity raising that took place on Nov. 17, and from the company's revolving credit facility.

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(END) Dow Jones Newswires

December 20, 2017 04:30 ET (09:30 GMT)