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VICTOR, N.Y., September 09, 2024--(BUSINESS WIRE)--Broadstone Net Lease, Inc. (NYSE: BNL) ("Broadstone," "BNL," the "Company," "we," "our," or "us"), today provided an update on its recent business activity through September 8, 2024. Additionally, the Company announced that BNL’s CEO, John Moragne, and CFO, Kevin Fennell, will be participating in the Wells Fargo 13th Annual Net Lease REIT Forum in New York, NY, on Monday, September 9, 2024.
SEPTEMBER 2024 BUSINESS UPDATE
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Invested $375.6 million year-to-date, including $234.3 million in new property acquisitions, $86.1 million in development fundings, $52.2 million in transitional capital, and $3.0 million in revenue generating capital expenditures. Total investments consist of $248.6 million in industrial properties, $124.0 million in retail and restaurant properties, and $3.0 million in an animal health services property.
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Committed $453.7 million to fund developments and $8.0 million to fund revenue generating capital expenditures with existing tenants as of September 8, 2024. Our commitments to fund developments include $446.0 million of industrial properties and $7.7 million of restaurant properties with varying construction start dates through 2024. We anticipate delivery and corresponding rent commencement by the end of 2025 for approximately one-third of those commitments, with the remaining two-thirds occurring in the first half of 2026.
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In conjunction with our growing development funding pipeline, we sold, on a forward basis, 2.0 million shares of our common stock for gross proceeds of approximately $36.5 million under our at-the-market common equity offering ("ATM Program"), none of which has settled. These sales may be settled, at our discretion, at any time prior to September 2025.
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Commenced contractually scheduled rent with our build-to-suit tenant, United Natural Foods, Inc. ("UNFI"), based on the substantial completion of construction in early September 2024. On a pro forma basis, including up to approximately $25.1 million of additional development closeout expenses expected to be funded during the fourth quarter of 2024, UNFI will become our number two tenant based on annualized base rent.
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Resolved ongoing negotiations with Red Lobster in connection with its bankruptcy proceedings, resulting in the assumption of our master lease agreement and continued operation of all 18 of our Red Lobster locations, representing 1.6% of ABR as of June 30, 2024.
MANAGEMENT COMMENTARY
"BNL’s positive momentum continues to build with an attractive, long-term investment pipeline and accretive capital through our ATM program," said John Moragne, BNL’s Chief Executive Officer. "Our $453.7 million development funding pipeline will provide accretive growth in 2025 and beyond and is a critical piece of our differentiated strategy to maximize current and future earnings for our investors through our four core building blocks of growth: best-in-class portfolio rent escalations, revenue generating capital expenditures with existing tenants, development funding opportunities, and a diversified acquisition pipeline. I’m proud of what we have accomplished to date and excited for what we are building for the future."