MILL VALLEY, Calif.--(BUSINESS WIRE)--Four Corners Property Trust (NYSE:FCPT), a real estate investment trust engaged in the ownership of high-quality, net-leased restaurant properties (“FCPT” or the “Company”), is pleased to announce the acquisition of 16 Bob Evans Restaurants properties as part of a $35.1 million sale-leaseback transaction. Today’s transaction was completed simultaneously with Golden Gate Capital’s acquisition of Bob Evans Restaurants from Bob Evans Farms, Inc. (NASDAQ: BOBE).
The 16 acquired properties are well-located within highly-trafficked corridors in Delaware, Indiana, Maryland, Michigan, New York, Ohio, Pennsylvania, Virginia, and West Virginia. The properties are occupied under a single triple-net master lease with 20-year initial term. The transaction was priced at a cap rate consistent with our investment thresholds and past transactions, and was funded with proceeds from FCPT’s revolving line of credit. The 16-unit portfolio has conservative rents and sales performance above the brand’s national average.
Bob Evans Restaurants is one of the leading family dining operators, with operations in 18 states, a highly recognizable brand and high-quality real estate located at main intersections in strong markets. The parent entity, Golden Gate Capital, has established a strong track record of operational success at other leading restaurant brands, including Red Lobster, California Pizza Kitchen, and On The Border.
Bill Lenehan, with FCPT, commented, “We are pleased to announce our largest sale leaseback to date. The properties have attractive lease terms, appropriate rent levels, and a large corporate tenant. We have confidence in the Bob Evans team and Golden Gate Capital to continue to perform well within the family dining subsector.”
FCPT, headquartered in Mill Valley, CA, is a real estate investment trust primarily engaged in the acquisition and leasing of restaurant properties. The Company will seek to grow its portfolio by acquiring additional real estate to lease, on a triple-net basis, for use in the restaurant and related food services industry. Additional information about FCPT can be found on the website at http://www.fcpt.com/.
About Golden Gate Capital
Golden Gate Capital is a San Francisco-based private equity investment firm with over $15 billion of capital under management. The principals of Golden Gate Capital have a long and successful history of investing across a wide range of industries and transaction types, including going-privates, corporate divestitures, and recapitalizations, as well as debt and public equity investments. Representative restaurant/retail investments sponsored by Golden Gate Capital include Red Lobster, California Pizza Kitchen, On The Border Mexican Grill & Cantina, Eddie Bauer, Express, Pacific Sunwear and Zales.