Supermarket Income REIT PLC Trading Update (6094S)
04 October 2017 - 5:00PM
UK Regulatory
TIDMSUPR
RNS Number : 6094S
Supermarket Income REIT PLC
04 October 2017
SUPERMARKET INCOME REIT PLC
(the "Company")
LEI: 2138007FOINJKAM7L537
Trading Update
For the first quarter to 30 September 2017
Supermarket Income REIT plc (LSE: SUPR), the UK supermarket real
estate investor, today publishes its maiden trading update for the
period from admission of the share capital of the Company to
trading on the London Stock Exchange on 21 July 2017 to 30
September 2017.
Rapid deployment of funds
In the six weeks following its flotation, the Company has
invested more than GBP150 million in three high-quality supermarket
properties (the "Portfolio"). The Portfolio has a total annualised
passing rent roll of GBP7.9 million and a weighted average
unexpired lease term of 17 years.
The portfolio assets are:
-- Fully let on a long term lease with upward only, annual, RPI-linked rent reviews
-- Strategically important to the tenant with strong trading performance
-- In suburban locations with excellent transportation links
-- On large sites with low site cover, providing future asset management opportunities
-- Already fulfilling the last mile of grocery home delivery and/or click and collect
These initial investments provide the Company with a high
quality property portfolio and underpin the Company's investment
objective of delivering low-risk inflation-linked income with
excellent asset up-side potential.
Strong financing position
On the 30 August 2017, the Company arranged a GBP100 million
credit facility with HSBC, priced at a margin of 160 basis points
over 3 month LIBOR, which is currently equivalent to a total cost
of debt of 2.2% per annum.
This attractively priced facility reflects the quality of the
underlying properties and strength of the tenant covenants, and
will provide flexible capital to fund the growth of the Company's
portfolio.
The Company will continue to target a loan-to-value ratio (LTV)
of 30 - 40% in the medium term, which the Directors consider
conservative given the low risk nature of the portfolio.
Commencement of dividends
The Company declared its maiden interim dividend of 1.375 pence
per share on the 28 September (payable on 27 October 2017) and is
on track to deliver an annualised 5.5 pence dividend for the full
year to 30 June 2017.
Nick Hewson, Chairman, commented:
"We have rapidly built our portfolio of supermarket property,
precisely in line with the business plan outlined at IPO in July.
Our high quality portfolio now produces attractive inflation linked
income for shareholders together with the potential for long term
capital returns"
For further information, please contact:
Atrato Capital Limited +44 (0)20 3790 8087
Ben Green
Steve Windsor
Steve Noble
Stifel Nicolaus Europe Limited +44 (0)20 7710 7600
Mark Young
Neil Winward
Tom Yeadon
Tavistock +44 (0)20 7920 3150
Jeremy Carey
James Whitmore
James Verstringhe
NOTES TO EDITORS:
Supermarket Income REIT plc listed on the London Stock Exchange
in July 2017. Its objective is to acquire a portfolio of
supermarket real estate assets in the UK, providing long-term
RPI-linked income, from institutional grade tenants and the
potential for capital growth through active asset management
opportunities. Atrato Capital is the Company's Investment
Adviser.
This information is provided by RNS
The company news service from the London Stock Exchange
END
TSTLLFIRILLVIID
(END) Dow Jones Newswires
October 04, 2017 02:00 ET (06:00 GMT)
Supermarket Income Reit (LSE:SUPR)
Historical Stock Chart
From Apr 2024 to May 2024
Supermarket Income Reit (LSE:SUPR)
Historical Stock Chart
From May 2023 to May 2024