FCPT Enters Agreement To Buy Up to 14 Darden Restaurant Properties For $85M
Portfolio Pulse from Benzinga Newsdesk
FCPT has entered an agreement to acquire up to 14 Darden Restaurant properties for $85 million, with the transaction expected to close in Q3 2023. The properties are spread across Tennessee, Indiana, Kentucky, and Ohio, and each has a triple net lease with a Darden corporate guaranty and 1.5% annual rent increases.
May 24, 2023 | 8:19 pm
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POSITIVE IMPACT
FCPT is set to acquire up to 14 Darden Restaurant properties for $85 million, with the transaction expected to close in Q3 2023. The properties have triple net leases and 1.5% annual rent increases.
The acquisition of these properties will expand FCPT's portfolio and provide a steady stream of rental income from the triple net leases with 1.5% annual rent increases. This is likely to have a positive impact on FCPT's stock price in the short term as it demonstrates growth and a solid investment.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 100
NEUTRAL IMPACT
Darden Restaurants is selling up to 14 properties for $85 million to FCPT, with each property having a triple net lease and a Darden corporate guaranty.
The sale of these properties will provide Darden Restaurants with additional capital, but the impact on the stock price is likely to be neutral in the short term as the transaction is expected to close in Q3 2023. The properties will continue to be leased by Darden, so there will be no significant change in operations.
CONFIDENCE 90
IMPORTANCE 50
RELEVANCE 50