Supermarket Income REIT has acquired a Sainsbury’s and Waitrose supermarket for £64.8m, representing a 4.4% net initial yield.
The Sainsbury’s store in Melksham, Wiltshire, totals 47,000 sq ft and includes purpose-built online fulfilment distribution docks, supporting online delivery.
The lease length on the property is 17 years and comes with annual, upwards only, RPI-linked rent reviews (that have a 4% cap and a 1% floor).
The Waitrose store is also omnichannel and comprises 25,500 sq ft of net sales area. In addition, four residential apartments, a GP medical centre and four ancillary units are also included in the purchase. The Waitrose store has been acquired with an unexpired lease term of 24 years, with 5-yearly, upward only, RPI-linked rent reviews (subject to a 3.3% cap and a 1% floor).
SUPR : Supermarket Income REIT acquires Sainsbury’s and Waitrose stores for £64.8m