Supermarket store acquired for £73m

Real estate investment trust, Supermarket Income REIT has acquired a Tesco store in Sheffield for £73.2m.

The store which was developed for the supermarket chain in 2011 currently occupies a 7 acre site including a 88,000 sq ft supermarket, a 12 pump petrol station and a 640 space car park. The site is also the base for omnichannell filfilment in the region operating 14 delivery vans and a click and collect service.

With an unexpired lease term of 17 years and annual upwards only RPI linked rent reviews the site offers a net initial yield of 4.5%.

Ben Green, director of Atrato Capital, the investment adviser to Supermarket Income REIT said: “This latest acquisition further strengthens Supermarket Income REIT’s portfolio of omnichannel supermarkets, which represent the future model for grocery in the UK. The store has attractive underlying fundamentals and a lease that is both index-linked and accretive to the portfolio in respect of its unexpired lease term.”