LaSalle IM sells Forest Hill Sainsbury’s store

LaSalle Investment Management has sold a Sainsbury’s store in Forest Hill to a private client of Wilton Estates, for £19.1m. The 48,808 sq ft food store, let to Sainsbury’s at 30-48 London Road until May 2031, generates £1,040,260 per annum with two further upwards-only market rent reviews in 2021 and 2026. Based on the income figure, the sum is estimated to reflect a yield of around 5.4%. The deal was agreed before the coronavirus lockdown. James Stratton, director in the UK investment team at Savills, which advised LaSalle IM on the deal, said: “The UK supermarket sector has remained resilient in the face of disruption from Covid-19. “The longer income profiles, tenant covenant strength and robust trading associated with food store assets are particularly attractive to investors seeking income security.” To send feedback, e-mail pui-guan.man@egi.co.uk or tweet @PuiGuanM or @estatesgazette