Supermarket Income REIT refinances with new £86.9 million term loan

Chicago, March 21 – Supermarket Income REIT plc refinanced its existing loan facilities with a new £86.9 million term loan, the company said in an update.

Bayerische Landesbank is the lender on the three-year facility.

The new facility matures in March 2026.

Interest is at Sonia plus 165 basis points, which has been fully hedged for the term of the loan using an interest rate swap for a fixed rate of 4.29%.

The hedging cost was £2.8 million. However, the hedging cost “was more than fully covered,” the company said, by the £3.3 million of proceeds received from the termination of the previous hedging instrument in place for the existing facilities.

All of the company’s drawn debt has an interest rate that is fixed, with a weighted average cost of 2.9%.

The new secured, interest-only replacement facility is an equal-sized replacement for the three-tranche existing facility with BLB.

The real estate investment trust, based in grocery properties, is based in London.

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