GE Capital Sheds Franchise Related Assets
American Realty Capital Properties (ARCP) announced it has entered into an agreement to purchase from GE Capital an $807 million portfolio of 471 net lease properties comprised primarily of nationally recognized restaurants.
The 471 property portfolio includes assets net leased to tenants who operate restaurants including: IHOP, Jack in the Box, Golden Corral, Burger King, Arby’s, Taco Bell, Applebee’s, Wendy’s, Logan’s Roadhouse and Denny’s. These ten national brands constitute approximately 64% of the net operating income of the portfolio to be acquired.
Nicholas S. Schorsch, chief executive officer and chairman of ARCP commented, “This transaction allows us to deliver on our promise to acquire $1.1 billion of properties, consistent with our investment strategy, and do so earlier than expected in 2013 at a cap rate in excess of 7%. This acquisition solidifies the company’s position as the fastest growing single tenant net lease REIT. We are pleased to have forged this agreement to purchase a portion of the formerly publicly traded Trustreet Properties Inc. portfolio from GE Capital which bolsters and further diversifies significantly our net lease portfolio.”
To read the American Realty Capital Partners news release click here.