Gladstone Commercial Corp Stock Price, News & Analysis

Gladstone Commercial Corporation (Nasdaq:GOOD) has successfully acquired two industrial properties in Jacksonville, Florida, and Fort Payne, Alabama, for a total of $13.6 million. The acquisition includes a weighted GAAP capitalization rate of 7.45%. The Jacksonville property features a sale/leaseback agreement with 20 years remaining on the lease, while the Fort Payne asset has 14.8 years remaining. This purchase aligns with Gladstone's strategy of acquiring functional assets leased to creditworthy tenants in strong markets, enhancing their portfolio's lease term and industrial concentration.

Gladstone Commercial Corporation (NASDAQ:GOOD) provided a business update on September 1, 2022, highlighting key portfolio performance metrics amidst market volatility. They amended their credit facility, increasing it from $325 million to $480 million. The company reported 100% collection of August cash base rents and a 96.9% portfolio occupancy rate as of August 31, 2022. They acquired a 246,000 square foot industrial portfolio for $32.5 million and executed significant lease renewals. The company maintains strong liquidity with around $84.9 million available.

Gladstone Commercial Corporation (Nasdaq: GOOD) announced the sale of its 60,000 SF office building located in Parsippany, New Jersey, on August 25, 2022. The company achieved a leveraged internal rate of return of approximately 15% on the property, originally acquired in 2011. This successful sale aligns with Gladstone's strategy to reposition its portfolio towards industrial properties, as stated by executives. The transaction is viewed as beneficial for all parties involved and supports the company’s capital recycling plan.

Gladstone Commercial Corporation (Nasdaq: GOOD) announced a new lease agreement with Moss & Associates LLC for 47,566 square feet at its Fort Lauderdale office building. The lease spans 5 years and 4 months, starting November 1, 2025. This deal follows a sub-lease arrangement that ends on October 31, 2025, showcasing Moss's long-term commitment. Gladstone's Chief Investment Officer expressed excitement about this addition to their tenant portfolio, emphasizing the significance of capital improvements made to the property.

Gladstone Commercial Corporation (NASDAQ:GOOD) announced on August 18, 2022, the amendment, extension, and upsizing of its syndicated revolving credit and term loan facility from $325 million to $480 million. The term loan was increased by $135 million, and the revolving credit facility was enhanced by $20 million. These funds will be used to repay maturing mortgage loans. The new facility provides improved liquidity for future acquisitions and operations, with debt maturities extended through February 2028 for the new term loan component.

Gladstone Commercial Corporation (Nasdaq:GOOD) announced a 5-year lease renewal with Corning, Inc. for its 120,000 SF industrial property in Horseheads, New York. This space has been fully occupied by Corning since Gladstone's acquisition in 2005. The lease extension enhances the weighted average lease term and maintains full occupancy, signaling Corning's commitment to the property. As of June 30, 2022, Gladstone Commercial's portfolio includes 136 properties across 27 states, totaling approximately 17.0 million square feet.

Gladstone Commercial Corporation (Nasdaq:GOOD) reported robust portfolio performance amidst market volatility. Key updates include:

• 100% of July cash base rents collected.
• 97.3% portfolio occupancy as of August 1, 2022.
• Sale of Jupiter office property for $19 million, yielding an $8 million gain.
• Year-to-date acquisitions of 742,303 square feet of industrial real estate for $51.4 million.
• Current liquidity of $39.2 million from revolving credit and cash reserves.

The company has never suspended its dividend since the IPO in 2003.

Gladstone Commercial Corporation (Nasdaq:GOOD) reported its Q2 2022 financial results, showing total operating revenue of $36.4 million, a 2.4% increase from Q1 2022. However, the company experienced a net loss of $1.5 million, or $0.04 per share, compared to a net income of $0.3 million in the previous quarter. Core funds from operations (FFO) decreased by 0.1%, totaling $15.3 million. The firm acquired five industrial properties for $38.1 million, extending its total square footage owned to approximately 16.975 million. Despite challenges from inflation and the pandemic, occupancy remains stable at 97.3%, with 100% of cash rents collected for July.

Gladstone Commercial Corporation (NASDAQ:GOOD) will host its Second Quarter Earnings Call on Tuesday, August 2, 2022, at 8:30 a.m. EDT. This event will cover the earnings results for the quarter ending June 30, 2022. Investors can join the call via webcast or by calling (877) 407-9045. A replay will be accessible through August 9, 2022, using conference number 13730106. The company specializes in acquiring and operating net leased industrial and office properties across the U.S.