Wed, 31 Dec 2025 | COMMERCIAL PROPERTY
Supermarket Income Real Investment Trust (SUPR), a London-based real estate investment group, has acquired three well-established UK supermarkets for a total of £97.6 million. The newly-acquired stores are operated by supermarket giants Tesco, Sainsbury’s and Waitrose.
All three stores have long trading histories and have been acquired by SUPR at an average net yield of 5.5 per cent. The stores are let on long, inflation-linked, triple-let leases and align with the buyer’s target profile of resilient locations with strong covenant strength.
The sites are a Tesco supermarket in Aylesbury, Buckinghamshire, a Sainsbury’s store in Sale, Greater Manchester and a Waitrose location in Frimley, Surrey. The three properties reflect a strong mix of commuter town and suburban area coverage.
The largest acquisition of the three is the 110,000 sq ft Aylesbury Tesco store, which has been acquired for £56.3 million, generating a return of slightly over 5 per cent annually. The store, which has been trading from the site for over 40 years, offers home-delivery, click & collect and fuel services.
The Sainsbury’s store in Sale was acquired in an off-market deal for £33.8 million, generating a return of close to 6 per cent a year. The store has been operating for almost 30 years.
The Waitrose store in Frimley, meanwhile, which has been trading for more than 25 years, was acquired in a £7.6 million deal, generating a return of approximately 6 per cent per year.
The three deals have been funded through the buyer’s existing debt facilities. On a pro-forma basis, SUPR expects that its loan-to-value ratio will stand at around 43 per cent, while its weighted average unexpired lease term will be 12 years.
Supermarket Income REIT CEO Rob Abraham described the deal as reflecting the end of a “transformational year” for the group, during which it saw significant progress on capital recycling, lease renewals and in scaling up its joint venture alongside Blue Owl Capital.
Abraham continued: “We’re on track to have recycled around £400m of capital this year into an attractive pipeline of acquisitions, and we see further opportunities ahead as we remain committed to growing our position as the leading landlord to grocery tenants.”
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