Supermarket REIT receives full payment of quarterly rents, maintains dividend

UK investor Supermarket Income REIT announced on Friday that it is maintaining its dividend payment as it has received 100% of rents due for the second quarter of the year.

In a statement, the supermarket property landlord confirmed that it will pay its third-quarter interim dividend in line with expectations and as per the normal timetable. The dividend is due to be announced on 8 April 2020.

'While it is too early to fully understand the long-term implications of the ongoing health crisis, the company has a robust balance sheet and is in a strong position to continue operating as usual despite the wider uncertainty,’ Supermarket REIT said.

After the payment of the third-quarter dividend, the company expects a net loan-to-value ratio (LTV) of 37.5% versus an LTV covenant of 60.0% as well as cash balances of £32 mln.

All supermarkets in the portfolio continue to operate as normal.

Earlier this week another UK retail specialist, Intu, said it had received only 29% of rents that were due for the second quarter of 2020, as retailers hit by coronavirus measures withhold payment.