Gladstone Land Acquires Almond Orchard in California

Rhea-AI Summary

Gladstone Land Corporation has acquired 219 acres of farmland in Madera County, California, for $3.3 million. This purchase includes a 10-year, triple-net lease with an existing tenant. The property features a productive almond orchard, benefiting both the company and the tenant as the almonds are at peak production. Currently, Gladstone Land owns 160 farms across 14 states, valued at approximately $1.4 billion, and has maintained a consistent monthly cash distribution.

Positive

• Acquisition of a productive almond orchard expected to enhance revenue.
• Strategic 10-year lease agreement with an established tenant.
• Owning properties with two sources of irrigation water.
• Continued commitment to evaluate additional farm acquisitions.

Negative

• None.

MCLEAN, VA / ACCESSWIRE / October 25, 2021 / Gladstone Land Corporation (NASDAQ:LAND) ("Gladstone Land") announced that it has acquired 219 gross acres of farmland located in Madera County, California, for $3.3 million. In connection with the acquisition, Gladstone Land entered into a 10-year, triple-net lease agreement with an existing tenant.

"We are very pleased to build upon the relationship with our tenant," said Tony Marci, Managing Director of Gladstone Land. "This farm near Madera, California, is a nice almond orchard and a great addition to our farmland ownership in the area. The almonds are in the peak of their production cycle, which is a great benefit to us and our tenant."

"We value the opportunity to own an almond orchard with two sources of irrigation water," said David Gladstone, President and CEO of Gladstone Land. "Almonds fit well in our portfolio, and we feel the crop provides a long-term market position that will benefit our shareholders. We continue to evaluate additional farms to acquire as we work towards another successful year."

About Gladstone Land Corporation:

Founded in 1997, Gladstone Land is a publicly traded real estate investment trust that acquires and owns farmland and farm-related properties located in major agricultural markets in the U.S. and leases its properties to unrelated third-party farmers. The company, which reports the aggregate fair value of its farmland holdings on a quarterly basis, currently owns 160 farms, comprised of over 108,000 acres in 14 different states and 45,000 acre-feet of banked water in California, valued at approximately $1.4 billion. Gladstone Land's 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, cherries, figs, lemons, olives, pistachios, and other orchards, as well as blueberry groves 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. Gladstone Land pays monthly distributions to its stockholders and has paid 104 consecutive monthly cash distributions on its common stock since its initial public offering in January 2013. The company has increased its common distributions 24 times over the prior 27 quarters, and the current per-share distribution on its common stock is $0.0452 per month, or $0.5424 per year. Additional information, including detailed information about each of the company's farms, can be found at www.GladstoneLand.com.

Owners or brokers who have farmland for sale in the U.S. should contact:

• Western U.S. - Bill Reiman at (805) 263-4778 or bill.r@gladstoneland.com, or Tony Marci at (831) 225-0883 or tony.m@gladstoneland.com
• Mid-Atlantic U.S. - Joey Van Wingerden at (703) 287-5914 or joe.v@gladstoneland.com
• Southeastern U.S. - Bill Frisbie at (703) 287-5839 or bill.f@gladstoneland.com

Lenders who are interested in providing Gladstone Land 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.

CAUTION CONCERNING FORWARD-LOOKING STATEMENTS:

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 Gladstone Land'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, 2020 (the "Form 10-K"), as filed with the SEC on February 24, 2021, and certain other documents filed with the SEC from time to time. Gladstone Land 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.

For further information:
Gladstone Land
703-287-5893

SOURCE: Gladstone Land Corporation

View source version on accesswire.com:
https://www.accesswire.com/669322/Gladstone-Land-Acquires-Almond-Orchard-in-California

FAQ

What type of farmland did Gladstone Land acquire?

Gladstone Land acquired an almond orchard in Madera County, California.

How much did Gladstone Land pay for the farmland acquisition?

The acquisition cost was $3.3 million.

What is the duration of the lease agreement for the new acquisition?

The lease agreement is for 10 years and is a triple-net lease.

How does this acquisition benefit Gladstone Land shareholders?

The acquisition is expected to enhance revenue due to the almonds being at peak production, contributing positively to cash flow.

What is the current valuation of Gladstone Land's farmland holdings?

Gladstone Land's farmland holdings are valued at approximately $1.4 billion.