Supermarket Income REIT has secured a new £215m secured term loan for its joint venture with funds managed by Blue Owl Capital through a bank syndicate comprising Barclays, HSBC, ING and SMBC.
The interest-only facility has a maturity of three years, with two further one-year extension options at the lenders’ discretion. The facility is priced at a margin of 1.5% above SONIA and the joint venture intends to hedge the drawn amount for the three-year initial term of the facility.
Supermarket Income REIT will receive 50% of the proceeds of the facility, which will initially be used to repay drawings under the company’s existing debt facilities, prior to redeployment.
Robert Abraham, CEO of Supermarket Income REIT, said: “We are pleased by the lender support and attractive pricing for this new facility, which highlights the strength of our relationships with existing lending banks, as well as the attractiveness of our high quality grocery assets.”
