Macfarlanes advises on Supermarket Income REIT’s acquisition of an additional stake in a joint venture
The transaction increases the REIT’s interest in the SRP Portfolio to 51%. The remaining 49% beneficial interest is held by Sainsbury’s plc (Sainsbury’s).
The SRP Portfolio comprises the freeholds to 26 Sainsbury’s supermarkets, of which 21 will be acquired by Sainsbury’s for £1,040 million between March 2023 and July 2023 on expiry of the current leases. The SRP Portfolio was created in 2000 through two sale and leaseback transactions, which were funded by bonds issued under two securitisations.
The transaction was led by corporate M&A partner Robert Boyle, with assistance from senior counsel Mark Slade and associate Jessica Tang.
Commenting on the transaction, Robert Boyle said: “We are delighted to have advised Supermarket Income REIT on this acquisition, which gives the Company a 51% stake in a strategically important transaction with Sainsbury’s.”