Supermarket Income REIT announced agreed rental increases from the two rent reviews due in the quarter. The total rent from the company’s portfolio increased to £28.4m following the reviews.
The company also confirmed receipt of 100% of the expected March 2020 quarterly rental payments.
Therefore, the company reaffirmed its intention to pay its Q3 interim dividend in line with expectations and as per the normal timetable. The Q3 dividend is due to be announced on 8 April 2020.
The company has a robust balance sheet and is in a strong position to continue operating as usual despite the wider uncertainty. After the payment of Q3 dividend, the company expects a net loan-to-value ratio (LTV) of 37.5% versus an LTV covenant of 60.0%, interest cover of 6.8x versus a debt covenant of 2.0x, and cash balances of £32m.