REG - Supermarket Inc REIT - Acquisition of three supermarkets for £98 million

Supermarket Income REITAnnouncement

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RNS Number : 7300M  Supermarket Income REIT PLC  24 December 2025

24 December 2025

SUPERMARKET INCOME REIT PLC 

("SUPR", or the "Company") 

 

ACQUISITION OF THREE SUPERMARKETS FOR £98 MILLION

Supermarket Income REIT plc (LSE: SUPR, JSE: SRI) announces that it has
completed the acquisition of three supermarkets in the UK for a total purchase
price of £97.6 million, at an average net initial yield of 5.5%(1).

These acquisitions, comprising well-established stores with long trading
histories, have been carefully selected to align with SUPR's core business
strategy and drive further earnings accretion.

Tesco, Aylesbury

·    Purchase price of £56.3 million (excluding acquisition costs) at a
5.2%(1) net initial yield

·    11.2-acre site comprising 110,000 sq. ft. supermarket with 15 home
delivery vans, a Click & Collect facility and a petrol filling station

·    Tesco has been trading from this site for over 40 years

·    Triple-net lease unexpired term of 11 years with annual RPI-linked
rent reviews(2) (subject to a 3% cap and 1% floor)

·    Strong trading store with an affordable rent of £26.9 per sq. ft.,
following a lease renewal four years ago

Sainsbury's, Sale

·    Off-market acquisition for £33.8 million (excluding acquisition
costs) at a 5.9%(1) net initial yield

·    4.4-acre site comprising 60,000 sq. ft. supermarket with over 350 car
park spaces

·    Sainsbury's has been trading from the site for over 29 years

·    Triple-net lease unexpired term of 16 years with annual RPI-linked
rent reviews (subject to a 4% cap and 1.5% floor), with rent of £35.2 per sq.
ft.

Waitrose, Frimley

·    Purchase price of £7.6 million (excluding acquisition costs) at a
6.2%(1) net initial yield

·    1.3-acre site comprising 30,000 sq. ft. supermarket with 5 home
delivery vans and a Click & Collect facility

·    Waitrose has been operating at the site for over 25 years

·    Triple-net lease unexpired term of 11 years with 5-yearly CPI-linked
rent reviews (subject to a 3% cap and 1% floor), with rent of £15.9 per sq.
ft.

These acquisitions have been funded through the drawdown of the Company's
existing debt facility. Following the completion of pipeline transactions, the
Company's pro-forma LTV is expected to be 43% with a portfolio WAULT of 12
years, and exposure to investment grade tenants has increased to 75%(3).

Rob Abraham, CEO of Supermarket Income REIT, commented:

"The acquisitions come at the end of a transformational year for SUPR, where
we delivered on key strategic objectives, including lease renewals,
internalisation, our debut bond issuance and changes to our listing. We
established and scaled our strategic joint venture with Blue Owl Capital
Managed Funds, enabling us to execute on an attractive pipeline of assets
whilst receiving management fee income on stores transferred into the JV. We
are on track to have recycled approximately £400 million of capital this year
into an exciting range of acquisitions across the various channels in our
earnings accretive pipeline.

We continue to see further opportunities ahead and look forward to continuing
to grow the business as we cement our position as the leading landlord to
grocery tenants."

1 NIY assuming respective standard purchaser's cost and including vendor rent
top-ups where applicable

2 RPI until 2028, CPI thereafter

3 Assumes the Company's five stores are transferred to the JV as previously
announced, following completion of due diligence; this transaction is included
within the £400 million capital recycling total

 

 FOR FURTHER INFORMATION                                                                                    
 Supermarket Income
 REIT
   
 Rob Abraham / Mike Perkins / Chris McMahon                                                              ir@suprplc.com (mailto:ir@suprplc.com)     
                                                                                                           

 Stifel Nicolaus Europe Limited                                                                          +44 (0)20 7710 7600   
 Mark Young / Rajpal Padam / Catriona Neville                                                               
                                                                                                          
 Goldman Sachs International                                                                             +44 (0)20 7774 1000 

 Tom Hartley / Luca Vincenzini                                                                            

 Headland Consultancy                                                                                    +44 (0)20 3805 4885

    
 Susanna Voyle / Antonia Pollock / Dan                                                                    SUPR@headlandconsultancy.com (mailto:%20SUPR@headlandconsultancy.com)
 Mahoney                                                                                                 (mailto:%20SUPR@headlandconsultancy.com)     
    

NOTES TO EDITORS:    

Supermarket Income REIT plc (LSE: SUPR, JSE: SRI), a FTSE 250 company, is
the only LSE listed company dedicated to investing in grocery properties which
are an essential part of national food infrastructure. The Company focuses on
grocery stores which are predominantly omnichannel, fulfilling online and
in-person sales and are let to leading supermarket operators in the UK and
Europe. The portfolio was valued at £1.6 billion as at 30 June 2025.

The Company's properties earn long-dated, secure, inflation-linked, growing
rental income. SUPR targets a progressive dividend and the potential for long
term capital growth.

The Company's shares are traded on the LSE's Main Market and on the Main Board
of the JSE Limited in South Africa. 

Further information is available on the Company's
website www.supermarketincomereit.com
(http://www.supermarketincomereit.com/)   

LEI: 2138007FOINJKAM7L537  

 

 

Stifel Nicolaus Europe Limited, which is authorised and regulated in the
United Kingdom by the Financial Conduct Authority, is acting exclusively for
Supermarket Income REIT plc and no one else in connection with this
announcement and will not be responsible to anyone other than the Company for
providing the protections afforded to clients of Stifel Nicolaus Europe
Limited nor for providing advice in connection with the matters referred to in
this announcement.

Goldman Sachs International, which is authorised by the Prudential Regulation
Authority and regulated by the Financial Conduct Authority and the Prudential
Regulation Authority in the United Kingdom, is acting exclusively for
Supermarket Income REIT plc and no one else in connection with this
announcement and will not be responsible to anyone other than the Company for
providing the protections afforded to clients of Goldman Sachs International
nor for providing advice in connection with the matters referred to in this
announcement.

 

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