Europe Has Embraced This New REIT Partner
The big news surrounding Realty Income (NYSE: O) in 2021 has been the real estate investment trust's (REIT's) purchase of peer VEREIT. That move cemented this net lease giant's position as the industry's biggest player. However, there has been something even more interesting going on in the portfolio that investors should pay close attention to. Here's a quick look at what that is and why it is so important to Realty Income's future.
In 2019, Realty Income inked a deal to buy 12 stores from Sainsbury's, one of the United Kingdom's largest grocers. The lease term for the properties was 15 years. And the price tag was around $500 million or so, with the retailer expected to account for 2.2% of the real estate investment trust's (REIT) rent roll after it closed the deal. That was a fairly sizable acquisition, but the really important piece was that it represented Realty Income's first foray into Europe.
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Source Fool.com
