Savills Investment Management (Savills IM), the international real estate investment manager, has acquired a portfolio of four urban supermarkets in Portugal on behalf of its European Food Retail strategy. With this transaction, the strategy’s portfolio has grown to a volume of around EUR 470 million. Additional equity is available for future acquisitions, with a continued investment focus on Spain, Portugal, Italy, the UK, Ireland, Benelux and the Nordics.
The four Portuguese supermarkets are located in the towns of Lourel, Leça do Balio, Loulé and Mafra. Each property is let on a long-term lease to Continente, the market leader in Portuguese food retail. All four assets are strategically located within Portugal – in the Lisbon metropolitan area (2), near Porto and in the Algarve – and have strong catchment areas with positive population growth.
These well-established Continente Modelo supermarkets are highly attractive to consumers thanks to their strategic locations and broad product range. The tenant has also continuously invested to improve the properties’ ESG credentials, with initiatives including the installation of photovoltaic systems and modern building management systems, as well as upgrading to energy-efficient LED lighting.
Savills IM was advised on the transaction by MLGTS, Arcadis, C&W and PWC. RPE Capital Markets and PLMJ advised the seller.