Private REIT Moves to Monthly Dividends
ROCHESTER, N.Y. – Broadstone Net Lease (BNL), a private real estate investment trust (REIT) managed by Broadstone Real Estate, has declared a quarterly dividend of $1.12 for the first quarter of 2014, and also announced that it will shift to a monthly dividend going forward. The new monthly dividend will be 39 cents per share, reflecting a payout ratio of approximately 90% of the REIT’s adjusted operating funds from operations (O-AFFO.) The new annualized dividend represents a 4.4% increase, following a 6.6% increase in February, and equates to a 7% annualized yield.
The REIT’s independent board members also voted to increase the determined share value from $66 to $67 per share for new investments received during May, June and July of 2014. In 2013, BNL generated O-AFFO growth per share of over 18% and total return of 17.9%. Since 12/31/2007 inception, the REIT has generated an average total annual return of 12.2%.²
“This dividend increase is significant for our shareholders, and we’re proud to follow up our record 2013 results with such exciting news” explained Amy Tait, Broadstone Chairman and CEO. “We continue to monitor BNL’s payout ratio and determined there was adequate cushion to increase the dividend for a second time in 2014, while still remaining conservative. The increase in our share price is reflective of the quality of BNL’s asset base and increases in its portfolio rental income.” Tait followed.
Broadstone Net Lease (BNL) invests in freestanding, single-tenant, triple-net leased properties located throughout the United States. With a diversified portfolio of more than 200 medical, industrial and retail properties in 31 states, the REIT targets individual or portfolio acquisitions within the $5 to $100 million range.
There are over 770 accredited investors in BNL, which is externally managed by Broadstone Real Estate LLC, a certified Women’s Business Enterprise (WBE.) BNL remains open for new investment by accredited investors on a monthly basis, with a minimum investment of $250,000. For more information, visit Broadstone’s website at www.broadstone.com.