Grocery real estate giant Supermarket Income REIT has announced it has successfully raised £65m from investors after a share issue, which it says was oversubscribed.
The company, which launched its fundraising plans last month, said the investment showed “not all retail is equal”, with the supermarket sector still highly attractive to investors.
The company, which has already bagged more than £200m of supermarket assets since an IPO last year, went down the fundraising route having identified three potential supermarket purchases, of which it plans to buy at least two. It has been looking to buy sites from owners such as insurance companies.
“The proceeds of the initial issue will be used to fund the acquisition of two further omnichannel supermarket assets, which will enhance our stable, long-term, inflation-protected portfolio,” said Supermarket Income REIT chairman Nick Hewson. “The investment opportunity in the grocery real estate market remains compelling.”
Steve Windsor, director of investment adviser Atrato Capital, added: “While traditional high street retail is struggling, grocery is doing very well.”