Private REIT Now Owns 382 Properties in 35 States
ROCHESTER, N.Y. – Broadstone Net Lease (BNL), a private real estate investment trust (REIT) managed by Broadstone Real Estate, continues to grow its national portfolio of triple-net leased properties. Through the first nine months of 2016, the company has acquired 47 properties via 13 transactions for $298.7 million. BNL now owns a 100% leased portfolio of 382 properties in 35 states and has a total market capitalization of nearly $2.0 billion.
Recent acquisitions include the July, 2016 lease assumption of Stanislaus Surgical Hospital, a 52,000 square foot acute care hospital and adjacent 15,000 square foot medical office building located in Modesto, California. Stanislaus opened in 1985 as one of the first independent surgery centers in the state of California. The hospital is comprised of eight operating rooms, three treatment rooms, and 23 inpatient beds. Both buildings are held under one master lease with a remaining term of 14+ years, four (4), 5-year renewal options, and annual rent increases of 3%. On April 1st, 2016, Sacramento, California-based Sutter Health became the majority owner of Stanislaus. Under the agreement, Stanislaus will remain a separate business entity and continue operations as they currently stand.
In August 2016, BNL acquired a portfolio of three single-tenant, triple-net leased student housing properties located in California, Oregon, and Oklahoma, and tenanted by the Alpha Omicron Pi sorority. In aggregate, the properties total 31,935 square feet and contain 104 beds, with an approximate weighted average remaining lease term of 18 years, and 2.00% annual rent escalations.
BNL’s shareholders continue to enjoy positive results. Effective August 1st, BNL’s Independent Directors Committee (IDC) voted to increase BNL’s Determined Share Value (DSV) by $3.00 to $77.00 per share, which represents a 4% increase. BNL’s monthly distribution was maintained at $0.41 per share and OP unit, which equates to a 6.4% annualized yield for new shareholders¹. Year to date, BNL has raised $190.2 million in new equity, including dividend reinvestment and one UPREIT transaction.
“Thus far, 2016 is shaping up to look very solid in terms of both acquisitions and capital raising activity,” said Chris Czarnecki, President and CFO of Broadstone Real Estate. “Our team looks forward to announcing additional triple-net lease property acquisitions throughout the remainder of 2016.”
About Broadstone Net Lease:
Broadstone Net Lease (BNL) invests in freestanding, single-tenant, triple-net leased properties located throughout the United States, primarily via sale and leaseback transactions. With a diversified portfolio of 382 medical, industrial and retail properties in 35 states, the REIT targets individual or portfolio acquisitions within the $10 to $200+ million range.
There are currently nearly 1,900 shareholders in BNL, which is externally managed by Broadstone Real Estate, LLC. BNL remains open for new investment by accredited investors on a monthly basis, with a minimum investment of $500,000. Shares are offered directly by Broadstone via private placement. Please see certain important disclosures regarding BNL at broadstone.com/disclosures.
Accredited investors are invited to download an investor kit: broadstone.com/S16