Strawberry Fields REIT Enters Into Agreement For Eight Healthcare Facilities Located In Missouri
Strawberry Fields REIT (NYSE AMERICAN:STRW) has entered into a Purchase and Sale Agreement for eight healthcare facilities in Missouri on October 8, 2024. The acquisition, valued at $87,500,000, is expected to close before year-end, subject to conditions. The facilities, comprising 1,111 licensed beds, are currently leased to third-party tenants under a master lease agreement on a triple net basis.
The company plans to finance the purchase using its current working capital and funds from a third-party lender. While Strawberry Fields REIT anticipates closing the deal by year-end, they caution that there's no assurance of the closing occurring within this timeframe or at all, as the acquisition is subject to substantial closing conditions.
Strawberry Fields REIT (NYSE AMERICAN:STRW) ha stipulato un Contratto di Acquisto e Vendita per otto strutture sanitarie nel Missouri l'8 ottobre 2024. L'acquisizione, del valore di 87.500.000 dollari, dovrebbe concludersi entro la fine dell'anno, soggetta a condizioni. Le strutture, che comprendono 1.111 letti autorizzati, sono attualmente affittate a terzi sotto un contratto di locazione principale su base tripla netta.
L'azienda prevede di finanziare l'acquisto utilizzando il proprio capitale circolante attuale e fondi da un prestatore terzo. Sebbene Strawberry Fields REIT si aspetti di chiudere l'affare entro la fine dell'anno, avverte che non vi è alcuna garanzia che la chiusura avvenga entro questo termine o del tutto, poiché l'acquisizione è soggetta a sostanziali condizioni di chiusura.
Strawberry Fields REIT (NYSE AMERICAN:STRW) ha entrado en un Acuerdo de Compra y Venta para ocho instalaciones de salud en Missouri el 8 de octubre de 2024. La adquisición, valorada en 87.500.000 dólares, se espera que se cierre antes de fin de año, sujeto a condiciones. Las instalaciones, que comprenden 1.111 camas licenciadas, están actualmente arrendadas a inquilinos de terceros bajo un acuerdo de arrendamiento maestro de base triple neta.
La empresa planea financiar la compra utilizando su capital de trabajo actual y fondos de un prestamista externo. Aunque Strawberry Fields REIT anticipa cerrar el trato antes de fin de año, advierte que no hay garantía de que el cierre ocurra dentro de este plazo o que ocurra en absoluto, ya que la adquisición está sujeta a condiciones sustanciales de cierre.
스트로베리 필드 REIT(NYSE AMERICAN:STRW)는 2024년 10월 8일 미주리주에 있는 8개의 의료 시설에 대한 매매 계약을 체결했습니다. 이 인수는 87,500,000달러의 가치가 있으며, 연말 이전에 마감될 것으로 예상되지만 조건에 따라 다릅니다. 이 시설은 1,111개의 라이센스 침대를 포함하고 있으며, 현재 제3자 임차인에게 트리플 넷 방식으로 마스터 임대 계약 아래 임대되고 있습니다.
회사는 현재 운전 자본 및 제3자 대출자의 자금을 사용하여 구매를 자금 조달할 계획입니다. 스트로베리 필드 REIT는 연말 전에 거래가 완료될 것으로 예상하고 있지만, 거래가 이 기간 내에 또는 전혀 성사될 것이라는 보장은 없으며, 인수가 실질적인 마감 조건에 따라 다르다는 점을 경고합니다.
Strawberry Fields REIT (NYSE AMERICAN:STRW) a signé un Accord d'Achat et de Vente pour huit établissements de santé dans le Missouri le 8 octobre 2024. L'acquisition, d'une valeur de 87.500.000 dollars, devrait être finalisée avant la fin de l'année, sous réserve de conditions. Les établissements, comprenant 1.111 lits licenciés, sont actuellement loués à des tiers dans le cadre d'un contrat de location principal sur une base à triple net.
L'entreprise prévoit de financer l'achat en utilisant son fonds de roulement actuel et des fonds d'un prêteur tiers. Bien que Strawberry Fields REIT prévoit de clôturer l'affaire d'ici la fin de l'année, elle met en garde qu'il n'y a aucune garantie que la clôture ait lieu dans ce délai ou du tout, car l'acquisition est soumise à des conditions de clôture substantielles.
Strawberry Fields REIT (NYSE AMERICAN:STRW) hat am 8. Oktober 2024 einen Kauf- und Verkaufsvertrag über acht Gesundheitseinrichtungen im Bundesstaat Missouri abgeschlossen. Die Übernahme, die mit 87.500.000 US-Dollar bewertet wird, soll voraussichtlich bis Ende des Jahres abgeschlossen werden, vorbehaltlich bestimmter Bedingungen. Die Einrichtungen umfassen 1.111 lizenzierten Betten und sind derzeit an Drittmieter unter einem Hauptmietvertrag auf dreifacher Nettobasis vermietet.
Das Unternehmen plant, den Kauf über sein aktuelles Betriebskapital und Mittel eines Drittfinanziers zu finanzieren. Während Strawberry Fields REIT davon ausgeht, den Deal bis Ende des Jahres abzuschließen, wird darauf hingewiesen, dass es keine Garantie dafür gibt, dass der Abschluss innerhalb dieses Zeitrahmens oder überhaupt stattfindet, da die Übernahme erheblichen Abschlussbedingungen unterliegt.
- Acquisition of 8 healthcare facilities with 1,111 licensed beds
- Existing triple net lease agreement in place with current tenants
- Potential expansion of the company's real estate portfolio
- Utilization of working capital and third-party funding for the purchase
- Significant capital outlay of $87,500,000 for the acquisition
- Uncertainty regarding the closing of the deal by year-end
- Substantial conditions to closing that may affect the acquisition
Insights
Strawberry Fields REIT's agreement to acquire eight healthcare facilities in Missouri for
The deal structure is noteworthy:
- Triple net lease arrangement already in place, which typically provides stable, predictable cash flows
- 1,111 licensed beds, indicating a sizable operation
- Financing through working capital and third-party lending, suggesting confidence in the company's financial position and the deal's potential
However, investors should be cautious. The acquisition's size relative to STRW's market cap implies significant leverage and integration risks. The closing conditions and timeline uncertainty also add elements of risk. The impact on the company's financials, including potential changes in debt ratios and cash flow, will be important to monitor.
This acquisition aligns with the growing trend in healthcare REITs focusing on skilled nursing and long-term care facilities. The Missouri market, with its aging population, presents a strategic opportunity for Strawberry Fields REIT.
Key considerations for investors:
- Geographic diversification: Expanding into Missouri could reduce regional concentration risk
- Operational efficiency: A master lease for eight facilities may offer economies of scale
- Market dynamics: The healthcare real estate sector has shown resilience, particularly in post-acute care settings
However, the healthcare regulatory environment is complex and ever-changing. Investors should assess how this acquisition fits into STRW's overall portfolio strategy and its ability to manage potential regulatory challenges. The success of this deal will largely depend on the quality of the facilities, the strength of the current operator and STRW's ability to maintain high occupancy rates in a competitive healthcare landscape.
SOUTH BEND, IN / ACCESSWIRE / October 15, 2024 / On October 8, 2024, Strawberry Fields REIT, Inc. (NYSE AMERICAN:STRW) (the "Company") entered into a Purchase and Sale Agreement with an unaffiliated seller with respect to eight Healthcare Facilities located in Missouri (the "Facilities"). The purchase price for the Facilities is
The Facilities are currently leased under a master lease agreement to a group of third- party tenants. Under the master lease, the tenant currently pays annual rent on a triple net basis. The eight Facilities are comprised of 1,111 licensed beds.
The Company plans to purchase the facilities utilizing the Company's current working capital and funds provided by a third-party lender.
The Company anticipates closing the acquisition before year-end; however, we can give no assurance that the closing will occur within this timeframe, or at all. The potential acquisition of Facilities is subject to substantial conditions to closing.
Safe Harbor Statement
Certain statements in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Those forward-looking statements include all statements that are not historical statements of fact and those regarding our intent, belief or expectations, including, but not limited to, statements regarding: future financing plans, business strategies, growth prospects and operating and financial performance; expectations regarding the making of distributions and the payment of dividends; and compliance with and changes in governmental regulations.
Words such as "anticipate(s)," "expect(s)," "intend(s)," "plan(s)," "believe(s)," "may," "will," "would," "could," "should," "seek(s)" and similar expressions, or the negative of these terms, are intended to identify such forward-looking statements. These statements are based on management's current expectations and beliefs and are subject to a number of risks and uncertainties that could lead to actual results differing materially from those projected, forecasted or expected. Although we believe that the assumptions underlying the forward-looking statements are reasonable, we can give no assurance that our expectations will be attained. Factors which could have a material adverse effect on our operations and future prospects or which could cause actual results to differ materially from our expectations include, but are not limited to: (i) the COVID-19 pandemic and the measures taken to prevent its spread and the related impact on our business or the businesses of our tenants; (ii) the ability and willingness of our tenants to meet and/or perform their obligations under the triple-net leases we have entered into with them, including, without limitation, their respective obligations to indemnify, defend and hold us harmless from and against various claims, litigation and liabilities; (iii) the ability of our tenants to comply with applicable laws, rules and regulations in the operation of the facilities we lease to them; (iv) the ability and willingness of our tenants to renew their leases with us upon their expiration, and the ability to reposition our facilities on the same or better terms in the event of nonrenewal or in the event we replace an existing tenant, as well as any obligations, including indemnification obligations, we may incur in connection with the replacement of an existing tenant; (v) the availability of and the ability to identify (a) tenants who meet our credit and operating standards, and (b) suitable acquisition opportunities, and the ability to acquire and lease the respective facilities to such tenants on favorable terms; (vi) the ability to generate sufficient cash flows to service our outstanding indebtedness; (vii) access to debt and equity capital markets; (viii) fluctuating interest rates; (ix) the ability to retain our key management personnel; (x) the ability to maintain our status as a real estate investment trust ("REIT"); (xi) changes in the U.S. tax law and other state, federal or local laws, whether or not specific to REITs; (xii) other risks inherent in the real estate business, including potential liability relating to environmental matters and illiquidity of real estate investments; and (xiii) any additional factors included under "Risk Factors" in our Annual Report Form 10-K dated March 19, 2024, including in the section entitled "Risk Factors" in Item 1A of Part I of such report, as such risk factors may be amended, supplemented or superseded from time to time by other reports we file with the SEC.
Forward-looking statements speak only as of the date of this press release. Except in the normal course of our public disclosure obligations, we expressly disclaim any obligation to release publicly any updates or revisions to any forward-looking statements to reflect any change in our expectations or any change in events, conditions or circumstances on which any statement is based.
Investor Relations:
Strawberry Fields REIT, Inc.
IR@sfreit.com
+1 (773) 747-4100 x422
SOURCE: Strawberry Fields REIT, Inc.
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FAQ
What is the value of Strawberry Fields REIT's (STRW) recent healthcare facility acquisition agreement?
How many licensed beds are included in the Missouri facilities Strawberry Fields REIT (STRW) is acquiring?
When does Strawberry Fields REIT (STRW) expect to close the acquisition of the Missouri healthcare facilities?
How does Strawberry Fields REIT (STRW) plan to finance the purchase of the Missouri healthcare facilities?
