Realty Income’s UK spending reaches $798m

US investor Realty Income Corporation spent $221m (£171.3m) on five retail properties in the UK during the quarter ending 31 December, bringing its total investment in the UK to $797.8m. The five acquisitions cover 4m sq ft and carry a weighted average lease term of 17.1 years. The initial average cash lease yield for the UK deals was 5.2%. The company’s UK portfolio now totals 18 properties within a $3.7bn portfolio comprising 789 assets under development or expansion. California-based Realty Income entered the UK market in April last year, after agreeing a deal to buy 12 Sainsbury’s supermarkets. The UK now accounts for 2.3% of its total portfolio. Sumit Roy, chief executive of Realty Income, said it expected to invest $2.25bn-$2.75bn globally in 2020, based on current market conditions. The news comes as Realty Income discloses its performance for the year ending 31 December. Net income per share was $1.38, up from $1.26 in the previous year. To send feedback, e-mail pui-guan.man@egi.co.uk or tweet @PuiGuanM or @estatesgazette