Gladstone Commercial Provides a Business Update

Rhea-AI Summary

Gladstone Commercial Corporation (NASDAQ:GOOD) reported strong portfolio performance amid market volatility due to the COVID-19 pandemic. Key highlights include:

• 100% of March cash base rents were collected.
• 97.0% portfolio occupancy as of March 31, 2022.
• Maintained dividends during the pandemic.
• Acquired a 56,000 square foot industrial facility for $5.9 million.
• Renewed leases totaling 257,978 square feet.
• Available liquidity of approximately $31.8 million.

Despite solid rent collection, potential future rent relief requests may impact financial stability.

Positive

• 100% of March cash base rents collected.
• Portfolio occupancy at 97.0%.
• Dividends maintained during pandemic.
• Acquired 56,000 square foot facility for $5.9 million.
• Renewed leases covering 257,978 square feet.

Negative

• Potential future rent relief requests may affect financial stability.

MCLEAN, VA / ACCESSWIRE / April 5, 2022 / Gladstone Commercial Corporation (NASDAQ:GOOD) ("we" or "Gladstone Commercial") is a real estate investment trust ("REIT") focused on acquiring, owning and operating net leased industrial and office properties across the United States. We are providing the following business update regarding our portfolio performance during a time of market volatility related to, among other factors, the global COVID-19 pandemic.

• 100% of March cash base rents have been paid and collected.
• Portfolio occupancy is at 97.0%, as of March 31, 2022.
• We remain within a small subset of U.S. equity REITs that have maintained their dividend rate and payment of distributions in tandem with this high level of rental collections during the COVID-19 pandemic.
• On March 11, 2022, the company acquired a 56,000 square foot industrial facility located in Oklahoma City, Oklahoma for $5.9 million.
• We renewed a lease with Bosch Security Systems Incorporated for its 73,960 square foot office suite in the Minneapolis MSA through July 31, 2028. In addition, a separate Bosch entity renewed a 5,630 square foot office suite through January 31, 2024, within the property.
• We renewed a lease with CVG Management Corp within our office building located in New Albany Ohio. The lease extends CVG's occupancy of the entire 50,944 square foot office building through March 31, 2037.
• Year-to-date, we extended 257,978 square feet covering four tenants with an average remaining lease term of 10.6 years. The annualized straight-line rent of these transactions totals $2.9 million.
• Since January 1, 2022, and through March 31, 2022, we have issued 945,566 shares of common stock for net proceeds of $20.4 million.
• We continue to have ample liquidity and a strong capital structure. As of March 31, 2022, our current available liquidity is approximately $31.8 million via our revolving credit facility and cash on hand.

We have experienced successful rent collection during the COVID-19 pandemic; however, we may receive additional rent relief requests as the pandemic continues to adversely affect business operations. However, we are unable to quantify the outcomes of potential future negotiation of relief packages, the success of any tenant's financial prospects or the amount of relief requests that we will ultimately receive or grant.

About Gladstone Commercial (NASDAQ:GOOD)

Gladstone Commercial is a real estate investment trust focused on acquiring, owning and operating net leased industrial and office properties across the United States. As of December 31, 2021, Gladstone Commercial's real estate portfolio consisted of 129 properties located in 27 states, totaling approximately 16.2 million square feet. For additional information please visit www.gladstonecommercial.com.

For Broker Submittals:

South Central:

Buzz Cooper
Co-President
(703) 287-5815
Buzz.Cooper@gladstonecompanies.com

Southeast/Northeast:

EJ Wislar
Senior Vice President
(703) 462-1027
EJ.Wislar@gladstonecompanies.com

Midwest/West:

Ryan Carter
Executive Vice President
(571) 451-0019
Ryan.Carter@gladstonecompanies.com

Investor or Media Inquiries:

Bob Cutlip,
President - Gladstone Commercial Corporation
(703) 287-5878
Bob.Cutlip@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 these 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 Gladstone Commercial'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, 2021, as filed with the SEC on February 15, 2022, and certain other filings we make with the SEC. Gladstone Commercial 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.

For Investor Relations inquiries related to any of the monthly dividend paying Gladstone funds, please visit www.gladstonecompanies.com.

SOURCE: Gladstone Commercial Corporation

View source version on accesswire.com:
https://www.accesswire.com/696036/Gladstone-Commercial-Provides-a-Business-Update

FAQ

What is the occupancy rate of Gladstone Commercial Corporation as of March 2022?

The occupancy rate is 97.0% as of March 31, 2022.

Did Gladstone Commercial Corporation maintain its dividend during the COVID-19 pandemic?

Yes, Gladstone Commercial has maintained its dividend rate during the pandemic.

How much liquidity does Gladstone Commercial Corporation have as of March 2022?

Gladstone Commercial has approximately $31.8 million in available liquidity.

What recent acquisition did Gladstone Commercial Corporation make?

Gladstone Commercial acquired a 56,000 square foot industrial facility in Oklahoma City for $5.9 million.

How many square feet has Gladstone Commercial Corporation renewed leases for in 2022?

Gladstone Commercial renewed leases totaling 257,978 square feet in 2022.