Supermarket Income REIT has acquired a Tesco supermarket, an Iceland Food Warehouse and complementary non-grocery units in Bradley Stoke, Bristol, for £84m (excluding acquisition costs), reflecting a net initial yield of 5.6%.
The 19.8 acre site was bought from CBRE Investment Management and the Tesco store has an unexpired lease term of 14 years, with annual, upwards-only, RPI-linked rent reviews, with a 3.5% cap and a 0.0% floor.
Ben Green, director of Atrato Capital, investment adviser to Supermarket Income REIT, said: “We are very pleased to be adding this top trading omnichannel Tesco store to the portfolio together with the complementary essential retailers at this site.”
