Long-income asset manager Alpha Real Capital has purchased a Sainsbury’s store in Sudbury for £34 mln (€40 mln) reflecting a 4.7% net income yield.
The lease to Sainsbury on the 66,000 ft2 (6,130 m2) asset is for a term of just under 20 years, and the rent, currently passing at £1.7 mln, is reviewed annually in line with the retail price index, Alpha said.
'Alpha focuses on acquiring long-lease properties and freehold ground rents across a diverse range of sectors. Our focus is on secure income backed by real assets,' said Phillip Rose, Alpha's CEO.
Alpha acquired the property for one of its long-lease property funds, in a 100% equity deal.
Alpha currently has over £3 bn of assets under management, primarily focused on long-lease property and freehold ground rents.
