Private REIT Acquires Siemens and Shutterfly Facilities, Seeks More Investment Opportunities
ROCHESTER, N.Y. – Broadstone Net Lease (BNL), a private real estate investment trust (REIT) managed by Broadstone Real Estate, has invested $52.1 million in June 2014, by acquiring a Siemens industrial facility in Elgin, IL and a newly constructed Shutterfly production facility in Shakopee, MN.The 170,000 square foot Siemens facility was offered to Broadstone on a proprietary basis after last October’s $36.3 million sale & leaseback of another Siemens facility in Hoffman Estates, IL. The Elgin transaction carries an initial lease length of 10.5 years, with annual rent increases of more than 2%. Siemens now ranks as one of BNL’s top five tenants in annual rental revenue.
With a market capitalization of more than $1.6 billion, Shutterfly provides a range of personalized photo-based products and services, allowing consumers to upload, edit, enhance, organize, find, share, create, print, and preserve their photographs. In late 2013, BNL entered into a forward commitment to acquire the 217,622 square foot Minneapolis-area facility, which was constructed by Ryan Companies, a full-service developer with robust, nationwide operations. Shutterfly and BNL have executed a new 10-year lease with annual rent increases of 2%. The lease also carries three 5-year renewal options.
Year-to-date, Broadstone Net Lease has acquired 22 properties for nearly $108 million. Four of these acquisitions took place in the second quarter, as the REIT deployed nearly $73 million. In total, BNL has increased its holdings to 212 properties in 31 states.
“This is BNL’s second Siemens acquisition in the last eight months, and our first with Shutterfly, a company that is bringing hundreds of new jobs to the Shakopee, Minnesota area,” said Amy Tait, Broadstone Chairman and CEO. “We are delighted to announce these acquisitions with publicly-traded, quality credit tenants.” Tait followed. “Given our strong inflows of new equity and recently announced expansion of unsecured borrowing capacity, we welcome new acquisition opportunities throughout the United States.”
About Broadstone Net Lease:
Broadstone Net Lease (BNL) invests in freestanding, single-tenant, triple-net leased properties located throughout the United States. With a diversified, $850 million-plus portfolio of more than 210 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 800 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.