M&S And Aldi Queens Drive Retail Park In West Derby, P LondonMetric Property
The deal saw Supermarket Income REIT acquire its first M&S Foodhall. Credit: via LondonMetric Property

Supermarket Income REIT picks up £95m of retail assets 

Dan Whelan

The investor paid £50m for a Tesco store in Prescot, as well as acquiring a Morrisons, M&S Foodhall, and a pair of Aldis elsewhere in the region. 

Supermarket Income REIT’s North West acquisitions total £95m.

In addition, the investor also bought a Morrisons in Durham from Janus Henderson UK Property PAIF for £18.4m, taking the total value of the deal to £113m.

Prescot Tesco

The Tesco in Prescot was bought from an undisclosed vendor for £50m.  

Tesco has operated from the 89,000 sq ft store since 1993.  

The 7.5-acre site comprises the supermarket, a 12-pump petrol filling station and 496 car parking spaces. The shop was acquired with an unexpired lease term of 15 years. 

Workington Morrisons

Supermarket Income REIT also bought a 35,000 sq ft Morrisons supermarket in Workington, Cumbria from Land Securities Group for £29m. 

Morrisons has operated from the store since 2004 and has 17 years left on its lease. The 13.7-acre site includes an eight-pump petrol filling station and 605 car parking spaces.  

Oldham Aldi

In Oldham, Supermarket Income REIT bought a 13,000 sq ft Aldi from O.P.P Investments for £5.6m. Aldi has 10 years remaining on its lease. 

Developed in 2011, the site also boasts a 108-space car park.

West Derby Aldi and M&S Foodhall

The pair of Liverpool stores was acquired from London Metric Property £10.2m.

Developed in 2016, the 1.7-acre site comprises a combined 23,000 sq ft net sales area with 120 car parking spaces. The Aldi supermarket has an unexpired lease term of 15 years and the M&S Foodhall has an unexpired lease term of 10 years. 

Ben Green, director of Atrato Capital, the investment adviser to Supermarket Income REIT, said: “These acquisitions provide geographic and tenant diversification, with the purchase of our first M&S Foodhall, as well as exposure to a number of high-quality omnichannel supermarket assets.  

“With an aggregate WAULT of 15 years, they support our strategy to deliver attractive long-term income.” 

This morning, Supermarket Income REIT’s share price was up 0.12% to 121.14p.

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