Supermarket Income Reit buys Tesco site for £54m

(Sharecast News) - Supermarket Income REIT said it had bought a Tesco supermarket in Ashford, Kent, for £54.1m at a net initial yield of 7%. The store comprises a 93,000 sq ft gross internal area omnichannel supermarket and a petrol filling station, situated on an 8.2 acre site.

Tesco has traded from the site for more than 30 years and uses the store as an online fulfilment hub with 14 home delivery vans, as well as offering click & collect services. The store is being acquired with an unexpired lease term of nine years with annual RPI-linked rent reviews, subject to a 5% cap and a 0% floor.

Reporting by Frank Prenesti for Sharecast.com