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
disposition of an Olive Garden restaurant property, located in Augusta,
Georgia, to Darden Restaurants, Inc. (NYSE: DRI) for $5.5 million. The
property was leased to Darden Restaurants, Inc. under a triple-net lease
with 14 years of term remaining. The sale is the result of an
unsolicited offer, resulting in Darden Restaurants, Inc. exercising its
right of first refusal to purchase the property, at a cash cap rate of
4.8%, exclusive of transaction costs.
FCPT anticipates redeploying the proceeds from this transaction through
an Internal Revenue Code Section 1031 like-kind exchange
(“1031-Exchange”). As a result, net cash proceeds from the sale will be
held in an escrow account until one or more properties are purchased
through the 1031-Exchange. However, there can be no assurance that an
acquisition of a new property or properties will occur. If the Company
fails to identify one or more like-kind replacement properties of
comparable value within 45 days of the date of sale and/or fails to
acquire such property or properties within 180 days of the date of sale,
the Company will be required to pay a tax at the highest corporate
income tax rate on the “built-in gain” (i.e. the gain that existed at
the time FCPT acquired the properties from Darden) recognized on the
sale of the properties.
About FCPT
FCPT, headquartered in Mill Valley, CA, is a real estate investment
trust primarily engaged in the acquisition and leasing of restaurant
properties. FCPT will seek to grow its portfolio by acquiring additional
real estate to lease, on a net basis, for use in the restaurant and
related food services industry. Additional information about FCPT can be
found on its website at http://www.fcpt.com/.
Cautionary Note Regarding Forward-Looking
Statements
This press release contains forward-looking statements within the
meaning of the federal securities laws. Forward-looking statements
include all statements that are not historical statements of fact and
those regarding FCPT’s intent, belief or expectations, including, but
not limited to, statements regarding the anticipated consequences and
benefits of the transaction and other future events and their potential
effects on FCPT, including, but not limited to, statements relating to
anticipated financial and operating results, the company’s plans,
objectives, expectations and intentions, cost savings and other
statements. 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. Forward-looking
statements speak only as of the date on which such statements are made
and, except in the normal course of FCPT’s public disclosure
obligations, FCPT expressly disclaims any obligation to publicly release
any updates or revisions to any forward-looking statements to reflect
any change in FCPT’s expectations or any change in events, conditions or
circumstances on which any statement is based. Forward-looking
statements are based on management’s current expectations and beliefs
and FCPT can give no assurance that its expectations or the events
described will occur as described. For a further discussion of these and
other factors that could cause FCPT’s future results to differ
materially from any forward-looking statements, see the section entitled
“Risk Factors” in FCPT’s most recent annual report on Form 10-K, and
other risks described in documents subsequently filed by FCPT from time
to time with the Securities and Exchange Commission.
View source version on businesswire.com: https://www.businesswire.com/news/home/20181214005478/en/
FCPT
Bill Lenehan, 415-965-8031
CEO
Gerry
Morgan, 415-965-8032
CFO
Source: Four Corners Property Trust