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.
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