For more retail coverage, click GlobeSt.com/RETAIL.
ORLANDO-Trustreet Properties Inc. has completed its largest acquisition since the REIT was formed in August 2004, providing $139 million in sale-leaseback financing for 67 Perkins Restaurant and Bakery stores.
The REIT, which was created by a merger between locally based CNL Restaurant Properties Inc., Dallas-based U.S. Restaurant Properties Inc. and 18 CNL Income Funds, closed the deal with the Restaurant Co., which owns and operates Perkins.
Memphis-based Restaurant Co., which owned and operated 153 stores and 333 franchises, hired Piper Jaffray in March to evaluate "a variety of financial and strategic alternatives" for Perkins. Many restaurant owners and operators utilize sale-leasebacks to grow their business. For example, Trustreet Properties has done business with Applebee's, Arby's, Bennigans, Burger King, Golden Corral, IHOP, Jack in the Box, KFC, Pizza Hut, TGI Friday's and Wendy's.
Currently, the REIT has financial interests in about 2,900 properties in 49 states. According to recent SEC filings, Trustreet Properties portfolio is 95.7% occupied with an average remaining lease term of10.8 years. More than 75% of the REIT's lease expirations do not occur until after 2011.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
