Supermarket Income REIT plc has acquired a Sainsbury’s store in Bangor, County Down, Northern Ireland for £24.8 million, representing a net initial yield of 6.6%.
Developed in 2011, this prominent 10-acre site comprises a modern 44,000 sq ft net sales area supermarket with 650 parking spaces and an 8-pump petrol filling station.
The supermarket has been acquired with an unexpired lease term of 15 years with 5-yearly rent reviews subject to 2% fixed annually compounded uplifts.
The site occupies a key location on the West Circular Corridor connecting directly to Belfast City and Newtownards. The acquisition includes an adjoining Homebase unit with a net sales area of 33,000 sq ft and an unexpired lease term of 10 years with 5-yearly, open market rent reviews.
“This Sainsbury’s store, which has strong trading fundamentals and attractive lease terms, is a welcome addition to Supermarket Income REIT’s portfolio. This income accretive acquisition is our first in Northern Ireland, adding further geographical diversification to our growing portfolio of UK supermarkets,” said Ben Green, Director of Atrato Capital Limited, the Investment Adviser to Supermarket Income REIT.