SUPERMARKET Income REIT has acquired a portfolio of popular supermarkets in France for €75.3m (£64.4m), reflecting a net initial yield of 6.3 per cent.

The London-listed firm said it bought 17 Carrefour supermarkets across the region.

The stores have an average gross internal area of c.40,000 sq ft, with a "long history of successful trading and form a key part of Carrefour's "drive" online grocery fulfilment network within their respective catchments".

Carrefour is one of the largest grocers in the world, achieving total sales of €94bn (£80bn) in the last financial year.

Ben Green, director of Atrato Capital Limited, the investment adviser to Supermarket Income REIT, said: "We are delighted to have completed this strategic sale and lease back transaction with Carrefour... The transaction represents the company's first investment in the €284bn (£242bn) French grocery real estate market."

To fund the acquisition, the company has drawn €81.7m (£94m) from its existing HSBC revolving credit facility having also increased the total size of the facility by £25m.

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