Supermarket Income Reit Share Discussion Threads

[chucko1] 11/1/2022 13:59

WC, I would echo that. It was a fairly conservative set of assumptions making up the 2022-25 estimates. Will not make us rich, but I can think of few better things in which to put low-risk capital.

[williamcooper104] 11/1/2022 12:57

Their 4 percent uplift on NAV assumes the JV assets are valued at 4.5 Which for 20 year term certain income does seem a little conservative At a 4 percent cap rate it's a 7 percent increase in NAV 5-6 increase would be my guess (Lot will depend on where the stores are)

[brexitplus] 11/1/2022 12:39

I like the intro

"The decision by Sainsbury’s to exercise its purchase option over additional stores in the ‘indirect portfolio’ will trigger additional capital growth for Supermarket Income REIT (SUPR) within its JV, further underlining the attractiveness of this investment. Meanwhile, SUPR continues to make good progress with capital deployment, supported by a continuing strong acquisition pipeline and recently enhanced debt capital resources."

[cwa1] 11/1/2022 12:19

Edison note:-

[brexitplus] 10/1/2022 21:25

I'm much happier with TR Property than any individual property company. Good performance and dividend.

[pdt] 10/1/2022 21:10

Jonwig / Williamcooper - thanks for your thoughts on Retail Parks.

[williamcooper104] 10/1/2022 19:07

M7 (who bought into logistics before it became popular) started buying retail parks in the pandemic - view was it's a steel portal frame with a shop front and double the yield of a steel portal frame without a shop front

[williamcooper104] 10/1/2022 19:05

It's hard to get excited about either Land or BL given their woeful track record - both of course do have good assets and are still trading at attractive discounts (with retail red book valuations that are now more realistic)

[williamcooper104] 10/1/2022 19:03

I looked a while ago and EPIC seemed to be the best fit Of course HMSO had a load of them until they sold to Brookfield; just as they off loaded their London offices at the bottom of the last cycle to Brookfield too

[jonwig] 10/1/2022 17:52

British Land (BLND) is keen on retail parks. Price is recovering from last year's lows but still trades at a discount. Its big potential is the development at Canada Water (SE London) but this is a 10-year project. The shares are not without their risk, of course.

[pdt] 10/1/2022 17:01

Nice to see this holding up well on a general market down day.

This represents about 10% of my total portfolio so I don't want to invest any further. I am very pleased with what I have and will continue holding.

I have just made a small purchase in Ediston (EPIC) because they are concentrating on retail parks which are similar to Supermarkets in the sense that the tenants have an omnichannel model serving retail customers directly, offering click and collect and in addition acting like ecommerce warehouses. In addition I have a smaller holding in Schroder Real estate (SREI) since they also have a small proportion in retail parks.
Interestingly Ediston sold a supermarket to invest in higher yielding retail parks.

Does anyone know of any others that have an interest in that sector or any other thoughts? Thanks.

[janeann] 10/1/2022 13:23

thanks cwa1

[cwa1] 10/1/2022 10:58

You've done the right thing, your broker needs to set this up for you. Keep on top of them though if you don't hear back fairly quickly.

[janeann] 10/1/2022 10:19

SUPR offer a scrip dividend alternative and the instructions suggest I need to send a CREST Dividend Election Input Message by 5pm Feb 5th but provide no information as to how I do this. Anyone any advice please...... have just sent a message to my broker to ask also

thanks

[cwa1] 10/1/2022 07:30

dividend declaration

The Board of Directors of Supermarket Income REIT plc (LSE: SUPR), the real estate investment trust providing secure, inflation-protected, long income from grocery property in the UK, has today declared an interim dividend in respect of the period from 1 October 2021 to 31 December 2021 of 1.485 pence per ordinary share, payable on or around 25 February 2022 (the "Interim Dividend") . The ex-dividend date will be 20 January 2022 with a record date of 21 January 2022. This dividend will be paid as a Property Income Distribution ("PID") in respect of the Company's tax-exempt property rental business.

[williamcooper104] 07/1/2022 12:59

It's swings and roundabouts; but likely to be more good than bad Loss of income; but then been no problems recently buying assets 20 year rack rented on good sites; likely to be NAV accretive both to current NAV and also income accretive when they sell at low yields and buy at slightly higher yields Having the long notice period helps mitigate income disruption as can line up acquisitions in time for the sale

[brexitplus] 07/1/2022 12:25

Bscuit, swings and roundabouts as I see it. Hopefully there will be a good NAV increase when divested, plus the income until 2023. SUPR keeps finding assets including its first ASDA. I’m in for the increasing dividend, some growth, and stability.

[bscuit] 07/1/2022 11:37

WC,
at one level, does the exercise of the option not suggest a diminishing pool of assets for implementation of the SUPR USP?

[williamcooper104] 07/1/2022 10:17

Supermarket Income REIT plc (LSE: SUPR), the real estate investment trust providing secure, inflation-protected, long income from grocery property in the UK, announces an update in relation to its 50:50 joint venture with British Airways Pension Trustees Limited (the "JV").The JV has a 51% beneficial interest in the Sainsbury's Reversion Portfolio (the "Portfolio"). The remaining 49% beneficial interest is held by Sainsbury's(1). The Portfolio consists of the freeholds to 26 Sainsbury's supermarkets.The Company announces that Sainsbury's has exercised its second purchase option (of two) to acquire eight stores within the Portfolio. Sainsbury's acquisition of the eight stores will be completed in July 2023 upon expiry of the current occupational leases. The purchase price under the option is to be determined based on the assumption of a new 20-year lease to Sainsbury's with the initial rent set at the higher of passing or open market, subject to upward-only, five yearly market rent reviews.The exercise of this option is in addition to the first option exercised by Sainsbury's on 10 September 2021 to acquire 13 stores within the Portfolio, which will be completed in March 2023. In total, Sainsbury's exercised its option to acquire 21 of the 26 stores in the Portfolio.Ben Green, Director of Atrato Capital Limited, the Investment Adviser to Supermarket Income REIT plc, said:"Sainsbury's buyback of these stores is further evidence of the strength of demand for grocery property in the UK. The exercise of these purchase options is expected to generate a positive NTA impact for Supermarket Income REIT." Further information can be found on the Company's website or by contacting:

[williamcooper104] 06/1/2022 14:41

I've it at 10 percent current - have been a little higher and lower as use a bit of it a little like cash/holding place - current largest equity holding Happy to go up to 15 percent as a hard limit and expect to get there/close to on future equity raises Looks like 2022 is going to be volatile - 2013 taper tantrum comes to mind - and that's without anything geopolitical blowing up

[chucko1] 06/1/2022 14:19

Brexitplus, I see it much the same. But I am at about 15% of equities here which is quite a bit more than the next (SREI - 7%). Cash is at 30% as I see higher rates this year (making SUPR even more appealing as it has some hedge qualities).

[brexitplus] 06/1/2022 13:47

Chucko
SUPR forms about 30% of my portfolio, and more of my wife's, both as a source of tax-free dividends in our ISAs and a hedge against the volatile markets.

[jonwig] 05/1/2022 15:41

The yields here (5.3%) are significantly higher than most 2021 deals which have been around 4.5%. Geography is the most likely reason for these two, but if SMs are such attractive assets, why aren't buyers pushing down yields?

[chucko1] 05/1/2022 15:33

Substantial - what percentage? Curious. I am over my limit!!

[brexitplus] 05/1/2022 14:52

Bscuit
Both my wife and I hold SUPR as a substantial part of our portfolios. I have held for about 2 years and my wife for about 8 months getting in at a low price and both taking part in the placing.