Supermarket Income REIT has raised £100m through its listing on the stock exchange, half of its £200m target.
The company was launched at the beginning of June with the intention of buying into the stabilising supermarket space, looking at freeholds let predominantly to Tesco, Sainsbury’s, Asda and Morrisons.
Retail Park boss Nick Hewson is chairman of the company. He co-founded retail park specialist Grantchester with Paul Whight. Atrato Capital, set up by Ben Green and Steve Windsor, formerly of Goldman Sachs, externally manage the company.
It said in a stock market announcement today it intends to invest the net proceeds of the issue in a diversified portfolio of supermarket real estate assets in the UK, providing long-term, RPI-linked income, from institutional-grade tenants of significant size and with the potential for capital growth through active asset management opportunities.
At the time of the listing it said it had already identified five assets valued at £263m. It said the income profile of the assets should enable an initial dividend yield of 5.5%.
Hewson said: “We are pleased with the support shown by investors for this IPO. Supermarket Income REIT is the first specialist UK REIT set up to invest in this sector of the real estate market.
“We have an impressive pipeline of assets and following our IPO now look forward to executing these transactions.”
To send feedback, e-mail alex.peace@egi.co.uk or tweet @egalexpeace or @estatesgazette
