Agree Realty Corporation
), a real estate investment trust (REIT), disclosed $22.4 million
in acquisitions of 2 single-tenant properties - one occupied by
Wal-Mart Stores Inc.
) and the other by
The recently renovated Wal-Mart asset is based in Brooklyn,
Ohio and spans 147,771 square feet. The property operates as a
Sam's Club, which is an American membership-only retail warehouse
club chain, owned and operated by Wal-Mart. The second property
is situated in South Kedzie Road in Chicago, Illinois and
encompasses 7,840 square feet.
With the aforementioned buyouts, Wal-Mart has become the 4
largest tenant of Agree Realty, in terms of rental revenue
generation. We expect the transaction to boost Agree Realty's
strong tenant base and its relationship with existing tenants.
Moreover, it is expected to be accretive to the company's
earnings in the future.
On an acquisition spree in recent times, Agree Realty has also
been focusing on strengthening ties with its present tenants.
Last month, the company acquired 2 single tenant assets leased to
) for a combined purchase price of about $5.4 million. In Apr
2013, the company announced the extension of the existing lease
deal with Kmart at 2 retail properties in Michigan and Kentucky,
Agree Realty specializes in the ownership, development,
acquisition and management of retail properties, which are
primarily leased to national and regional retail companies in the
United States. At present, the company owns a portfolio of 120
properties, located in 32 states comprising roughly 3.5 million
square feet of gross leasable space.
Agree Realty currently carries a Zacks Rank #3 (Hold).
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