SUPERMARKET INCOME REIT PLC

(the "Company")  

LEI: 2138007FOINJKAM7L537  
  

Acquisition OF A TESCO IN LLANELLI FOR £66.8 MILLION

Supermarket Income REIT plc (LSE: SUPR), the real estate investment trust providing secure, inflation-protected, long income from grocery property in the UK, announces the acquisition of a Tesco supermarket in Llanelli, South Wales, for a total purchase price of £66.8 million (excluding acquisition costs), reflecting a net initial yield of 5.3%.

The store was developed for Tesco in 1989 and occupies a 10 acre site comprising a 82,046 sq ft net sales area supermarket, a 16-pump petrol filling station and 753 car parking spaces. The store is an online hub for Tesco, with 10 home delivery vans and a dedicated Click & Collect facility in the car park. The store is being acquired from M&G with an unexpired lease term of 12 years, with annual, upwards only RPI-linked rent reviews (subject to a 5.0% cap and 0.0% floor).

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

"This acquisition further strengthens SUPR's portfolio of top trading omnichannel supermarkets. The store has strong trading fundamentals, comes at an accretive acquisition yield and is subject to annual index-linked rent reviews."

NOTES TO EDITORS:  

Supermarket Income REIT plc (LSE: SUPR) is a real estate investment trust dedicated to investing in grocery properties which are an essential part of the UK's feed the nation infrastructure. The Company focuses on grocery stores which are omnichannel, fulfilling online and in-person sales. All of the Company's 74 supermarkets⁽¹⁾ are let to leading UK supermarket operators, diversified by both tenant and geography.  

The Company provides investors with attractive, long-dated, secure, inflation-linked, growing income with the potential for capital appreciation over the longer term and targets a 7% to 10% p.a. total shareholder return⁽²⁾. The Company has increased its dividend every year since IPO.

The Company is listed on the premium segment of the Official List of the UK Financial Conduct Authority and its Ordinary Shares are traded on the Main Market of the London Stock Exchange, having listed initially on the Specialist Fund Segment of the Main Market on 21 July 2017.

Atrato Capital Limited is the Company's Investment Adviser.  

Further information is available on the Company's website www.supermarketincomereit.com  

1. 48 directly owned supermarkets, plus 26 via joint venture. Please note that it was announced in January 2022 that Sainsbury's exercised its options to acquire a total of 21 of the 26 stores in the portfolio. The Sainsbury's acquisition of the stores will be completed in two tranches: 13 in March 2023 and 8 in July 2023. Further information is available on the company's website.

2. There is no certainty that these illustrative projections will be achieved