FCPT Announces Acquisition of Four Restaurant Properties for $5.8 Million in an OP Unit Transaction
January 12 2017 - 5:53PM
Business Wire
Four Corners Property Trust (NYSE:FCPT), a real
estate investment trust engaged in the ownership of high-quality,
net-leased restaurant properties (“FCPT” or the “Company”), is
pleased to announce the acquisition of four restaurant properties
consisting of three restaurant concepts (two Burger Kings, one
Steak ‘n Shake, one Taco Bell) across four states (Alabama,
Indiana, New York, Tennessee) for $5.8 million. The restaurants are
occupied under triple-net leases with a weighted average 12 years
of remaining term, and the transaction closed at an effective
going-in cap rate of 6.6%, exclusive of transaction costs. The
operators at these properties are a mix of corporate tenants and
strong franchisees, including Carrols Restaurant Group (the largest
operator of Burger King restaurants) and Tacala, LLC (the largest
operator of Taco Bell restaurants).
This is a follow-up to the Operating Partnership unit (“OP
unit”) transaction FCPT completed with U.S. Restaurant Properties
Inc. (“USRP”) in November 2016. FCPT funded the acquisition with
174,576 OP units based on a value per unit of $20.13 (consistent
with the November 2016 OP unit transaction) and $2.3 million in
cash. USRP is an experienced private, net-lease REIT, and its
principals led the formerly publicly-traded REIT of the same
name.
Bill Lenehan, with FCPT, commented, “We are excited to announce
both the finalization of our OP unit deal with USRP, and the
acquisition of these well-located properties with strong credit
from both corporate and large franchisee tenants. The collaboration
between USRP and FCPT continues to provide new opportunities for
both companies.”
About FCPT
FCPT, headquartered in Mill Valley, CA, is a real estate
investment trust primarily engaged in the acquisition and leasing
of restaurant properties. The Company will seek to grow its
portfolio by acquiring additional real estate to lease, on a
triple-net basis, for use in the restaurant and related food
services industry. Additional information about FCPT can be found
on the website at http://www.fcpt.com/.
About USRP
USRP was founded in 1994 as one of the first REITs dedicated to
restaurant properties. USRP traded on the NYSE, and
was ultimately acquired by GE Capital in 2007 with an
enterprise value of $2.8 billion. In its current form, USRP is now
a Dallas-based private company focused on restaurant and
related properties.
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version on businesswire.com: http://www.businesswire.com/news/home/20170112006099/en/
Four Corners Property TrustBill Lenehan, 415-965-8031CEOGerry
Morgan, 415-965-8032CFO
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