SIR.L Regulatory News (SIR)

19 April 2018

Secure Income REIT Plc

(the "Company")

Quarterly Dividend Declaration

The Board of Secure Income REIT Plc (AIM: SIR), the specialist long term income REIT, today declares an interim dividend in respect of the year ending 31 December 2018 of 2.50924 pence per Ordinary Share payable on 25 May 2018 to shareholders on the register on 27 April 2018. The ex-dividend date will be 26 April 2018. It will therefore be payable on the 86,438,000 new shares issued in March 2018 to fund the acquisitions of the hotels and leisure portfolios.

The dividend will be paid as a Property Income Distribution in respect of the Company's tax exempt property rental business.

The Company's £436 million acquisitions are scheduled to complete over the coming months, with the £212 million hotels portfolio expected to complete just over a month early, in late April, and the £224 million leisure portfolio expected to complete as scheduled on 2 July. As noted in the Company's previous announcement of the acquisitions, the first enhanced dividend following the acquisitions is expected to be in the third quarter of this year. That is expected to increase the dividends from an annualised first quarter dividend of 14 pence per share to an annualised third quarter dividend of 15.73 pence per share.

For further information on the Company, please contact:

About Secure Income REIT Plc

Secure Income REIT specialises in generating long term, inflation protected, secure income from real estate investments. Its investment strategy is designed to satisfy investors' growing requirements for high quality, safe, inflation protected income flows.

At 31 December 2017, the Company's investment property portfolio was valued at £1.77 billion, producing £95.7 million per annum of rental income from long term leases with a weighted average unexpired term to expiry of over 22 years. All rental income is subject to fixed or RPI upwards only rent reviews.

On 9 March 2018, the Company exchanged contracts to acquire two off-market portfolios at a total cost of £436 million. The acquisitions include Manchester Arena, the UK's largest indoor entertainment arena, 76 Travelodge hotels and The Brewery on Chiswell Street, the largest catered event space in the City of London. To finance the acquisitions, the Company successfully raised gross proceeds of £315.5 million in a significantly oversubscribed Placing of 86,438,000 Ordinary Shares, completing the Placing over a week earlier than planned following strong investor demand. New secured non-recourse debt facilities of c. £128.7 million at c.30% loan to cost have also been agreed.

Following completion of the Acquisitions, the Enlarged Group will own approximately £2.2 billion of investment property with a weighted average unexpired lease term of some 22 years. The Acquisitions further diversify the Group's resilient portfolio of Key Operating Assets let to strong businesses in defensive sectors with high barriers to entry. The RPI linked rent reviews and fixed rental uplifts combine with fixed cost debt to drive healthy dividend growth, creating attractive and predictable returns.

The Company is advised by Prestbury Investments LLP which was adviser to Max Property Group plc until August 2014, when all of the assets of Max Property Group plc were sold to Blackstone Group. Prestbury Investments LLP is a partnership of real estate and finance professionals including Nick Leslau, Mike Brown, Tim Evans, Ben Walford and Sandy Gumm.

The Company's Board is chaired by Martin Moore and also comprises three further independent Directors in Leslie Ferrar, Jonathan Lane and Ian Marcus, as well as three members of the Prestbury Team in Nick Leslau, Mike Brown and Sandy Gumm.

The Company is a UK REIT which floated on the AIM market of the London Stock Exchange in June 2014.

The Company's LEI is: 213800M1VI451RU17H40

Further information on Secure Income REIT is available at: www.SecureIncomeREIT.co.uk 

Dividend withholding tax deductions

Shareholders entitled to elect to receive distributions without deduction for withholding tax should complete the declaration form which is available in the Investor Centre of the Company's website, www.SecureIncomeREIT.co.uk or by request to Enquiries@SecureIncomeREIT.co.uk or by writing to the Company Secretary, Secure Income REIT Plc, Cavendish House, 18 Cavendish Square, London W1G 0PJ. Shareholders who qualify for gross payments are, principally, UK resident companies, certain UK public bodies, UK charities, UK pension schemes and the managers of ISAs, PEPs and Child Trust Funds, in each case subject to certain conditions. Individuals and non-UK residents do not qualify for gross payments of distributions and should not complete the declaration form.