The Cambridge University Endowment Fund has taken a 50% equity stake in a £490 mln (€570 mln) retail portfolio being sold in a sale-and-leaseback by UK supermarket giant Tesco.
The Cambridge University Endowment Fund has taken a 50% equity stake in a £490 mln (€570 mln) retail portfolio being sold in a sale-and-leaseback by UK supermarket giant Tesco.
The package includes four regional Tesco stores and three mixed-use sites currently under development and located throughout the UK.
The deal reflects an average net initial yield of 4.7%.
Tesco said the transaction is being funded primarily by fixed-rate notes issued by Tesco Property Finance, which last week issued a £493 mln credit-linked CMBS.
It is the second sale-and-leaseback joint venture which Tesco has entered into with the Cambridge University Endowment Fund following the divestment in January 2011 of 11 Tesco supermarkets.
