Gladstone Land Completes Acquisition of Irrigated Farmland in Colorado
January 16 2020 - 4:30PM
Gladstone Land Corporation (Nasdaq: LAND) (“Gladstone Land” or the
“Company”) announced that it has acquired 1,324 gross acres of
farmland in Holyoke, Colorado, for $7.5 million. The farm consists
of 1,064 irrigated acres and will grow a rotation of potatoes, corn
for use in the tenant’s feedlots, and sugar beets, which is a new
crop type in the Gladstone Land portfolio. In connection with the
acquisition, Gladstone Land also entered into a six-year,
triple-net leaseback agreement with the seller.
“This property represents our first closing of 2020,” said Bill
Hughes, Managing Director of Gladstone Land. “We’re excited to be
in a new region of Colorado and even more excited to be partnering
with one of the premier farmers and feedlot operators in the area.
We look forward to doing more business with them in the
future.”
As an interesting side note, during Gladstone Land’s title
review of the property, the document conveying the property from
the federal government to the first-time private owner was
discovered. The document was dated December 10, 1894, and was
signed by Grover Cleveland, former president of the United
States.
“As noted before, 2019 was a record year of purchasing farms for
Gladstone Land, and we are hoping to replicate that success in
2020,” said David Gladstone, President and CEO of Gladstone Land.
“This acquisition increases the number of regions where we own
farms and the number of different crop types grown on our farms,
and it also adds a new operator to the number of tenants on our
farms. We believe the increased diversification in our farmland
holdings helps to provide a steady and secure source of income with
which to pay dividends to our shareholders. We look forward to
continuing to add more farms to our already-existing portfolio of
farmland primarily growing fresh fruits and vegetables.”
About Gladstone Land
Corporation:
Founded in 1997, Gladstone Land is a publicly traded real estate
investment trust that owns farmland and farm-related properties
located in major agricultural markets across the U.S. and leases
its properties to unrelated third-party farmers. The Company
reports the fair value of its farms on a quarterly basis. The
Company currently owns 113 farms, comprised of approximately 88,000
acres in 10 different states, valued at approximately $884 million.
The farms are predominantly located in regions where its tenants
are able to grow fresh produce annual row crops, such as berries
and vegetables, which are generally planted and harvested annually.
The Company also owns farms growing permanent crops, such as
almonds, apples, figs, olives, pistachios, and other orchards, as
well as groves of blueberries and vineyards, which are generally
planted every 10 to 20-plus years and harvested annually. The
Company may also acquire property related to farming, such as
cooling facilities, processing buildings, packaging facilities, and
distribution centers. The Company pays monthly distributions to its
stockholders and has paid 83 consecutive monthly cash distributions
on its common stock since its initial public offering in January
2013. The current per-share distribution on its common stock is
$0.04465 per month, or $0.5358 per year. Additional information,
including detailed information about each of the Company’s farms,
can be found at www.GladstoneFarms.com.
Owners or brokers who have farmland for sale in the U.S. should
contact:
- Eastern U.S. – Bill Frisbie at (703) 287-5839 or
bill.f@gladstoneland.com
- Midwest U.S. – Bill Hughes at (618) 606-2887 or
bill.h@gladstoneland.com
- Western U.S. – Bill Reiman at (805) 263-4778 or
bill.r@gladstoneland.com, orTony Marci at (831) 225-0883 or
tony.m@gladstoneland.com
Lenders who are interested in providing the Company with
long-term financing on farmland should contact Jay Beckhorn at
(703) 587-5823 or Jay.Beckhorn@GladstoneCompanies.com.
For stockholder information on Gladstone Land, call (703)
287-5893. For Investor Relations inquiries related to any of the
monthly dividend-paying Gladstone funds, please visit
www.GladstoneCompanies.com.
All statements contained in this press release, other than
historical facts, may constitute "forward-looking statements"
within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. Words such as "anticipates," "expects," "intends,"
"plans," "believes," "seeks," "estimates" and variations of the
foregoing words and similar expressions are intended to identify
forward-looking statements. Readers should not rely upon
forward-looking statements because the matters they describe are
subject to known and unknown risks and uncertainties that could
cause the Company's business, financial condition, liquidity,
results of operations, funds from operations or prospects to differ
materially from those expressed in or implied by such
statements. Such risks and uncertainties are disclosed under
the caption "Risk Factors" of the Company's Annual Report on Form
10-K for the fiscal year ended December 31, 2018 (the “Form 10-K”),
as filed with the SEC on February 26, 2019, and certain other
documents filed with the SEC from time to time. The Company
cautions readers not to place undue reliance on any such
forward-looking statements, which speak only as of the date
made. The Company undertakes no obligation to publicly update
or revise any forward-looking statements, whether as a result of
new information, future events, or otherwise, except as required by
law.
For a definition of net asset value and a reconciliation to the
most directly comparable GAAP measure, please see the Company’s
Form 10-K.
SOURCE: Gladstone Land Corporation
For further information: Gladstone Land, 703-287-5893
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