Growing International Portfolio
Italy: Investment in Metro Wholesale Club Portfolio Demonstrates Prudent International Expansion
REALTY
INCOME
Attractive portfolio in third international market. In 2022, Realty Income
purchased a portfolio of seven wholesale clubs operated by Metro Group for
€166.6 million, located across Italy in major cities like Rome and Florence.
Metro began operations at these locations between 1972 and 2005, indicating
Metro's durable long-term tenancy and successful operations.
• Strong and resilient operator. Metro Group (ETR: B4B) is an international
leader in the wholesale club format that operates nearly 700 stores across
Europe and in 34 countries globally. Metro commands a 26% market share in
the Italian wholesale club industry and is investment grade rated. During the
COVID-19 pandemic sales dropped only ~5%.
Benefits of size and scale. At the time of acquisition Metro represented
< 4.0% of rent from the international portfolio and <0.5% of Realty Income's
overall portfolio.
Additional avenue for growth. Italy is the third largest country in the
European Union, and Realty Income sees additional opportunities to expand
there in alignment with our investment criteria.
Metro Wholesale Club
METRO
METRO
METR
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