Strawberry Fields REIT Inc. (NYSE American: STRW) CEO Highlights Discipline, Scale, and Steady Returns at NobleCon21

Rhea-AI Summary

Strawberry Fields REIT (NYSE: STRW) outlined a disciplined, long-term healthcare real-estate strategy at NobleCon21 focused on triple-net leases, steady rent collection, and measured acquisitions.

The REIT holds long-term leasehold interests in 142 facilities with >15,500 beds across 10 states, reported Q3 2025 rental income $39.7M and AFFO $18.1M, and maintains a ~47% payout ratio to fund growth. Portfolio financing includes HUD loans, Israeli bonds, and conventional debt; management cited a planned unsecured credit line to broaden liquidity.

Positive

• Portfolio of 142 facilities with >15,500 licensed beds
• Q3 2025 rental income of $39.7M
• Funds From Operations of $20.7M in Q3 2025
• Adjusted FFO of $18.1M in Q3 2025
• Conservative ~47% payout ratio retaining cash for acquisitions
• Record of collecting 100% of rents for seven to eight years

Negative

• Company reports $1.1B assets at historical cost vs $750M market cap
• Lease structure with fixed rents and 3% annual increases limits upside linked to operator performance
• Concentration of financing in HUD, Israeli bonds, and conventional debt adds refinancing complexity
• No traditional unsecured credit line currently available; management plans to seek one

Key Figures

Healthcare facilities 142 facilities Current portfolio size as described in NobleCon21 article

Licensed beds 15,500+ beds Aggregate capacity across 142 healthcare facilities

Q3 2025 rental income $39.7M Third-quarter 2025 rental income highlighted in presentation

Q3 2025 AFFO $18.1M Third-quarter 2025 Adjusted Funds From Operations

Payout ratio 47% Approximate dividend payout ratio described as conservative

Total assets $1.1B Assets at historical cost reported by the company

Market capitalization $750M Market cap figure mentioned in the article

U.S. elderly care market 2024 $49.29B Stated value of U.S. elderly care market in 2024

Market Reality Check

$12.98 Last Close

Volume Volume 12,812 versus 20-day average of 33,492 indicates relatively light trading ahead of the event-focused news. low

Technical Price at $13.25 is above the 200-day MA of $11.38 and about 5% below the 52-week high of $14.00.

Peers on Argus

Healthcare REIT peers show mixed, mostly modest moves: UHT up 0.43%, GMRE up 1.23%, while CHCT and DHC are flat and SILA is slightly negative. STRW’s mild gain of 0.68% appears more stock-specific than part of a broad sector swing.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Nov 26	Conference appearance	Positive	+0.9%	Announcement of upcoming NobleCon21 presentation and webcast access.
Nov 06	Dividend declaration	Positive	+0.9%	Q4 2025 cash dividend of $0.16 per common share.
Nov 06	Earnings release	Positive	+0.9%	Q3 2025 results with higher rental income and AFFO growth.
Oct 23	Earnings date notice	Neutral	-0.5%	Announcement of Q3 earnings release date and conference call.
Oct 13	Conference appearance	Positive	+0.4%	Planned presentation at LD Micro Main Event XIX.

Pattern Detected

Recent news — largely conferences, earnings, and dividends — has generally been followed by small positive price reactions, suggesting investors have rewarded communication and financial updates with modest buying.

Recent Company History

Over the past few months, Strawberry Fields REIT has focused on visibility and financial communication, including multiple conference presentations and Q3 2025 results on Nov 6. Those results highlighted portfolio expansion and higher rental income, echoed in today’s NobleCon21 recap. Dividend declarations on Nov 6 and prior conference notices drew modest positive reactions, indicating the market has tended to respond constructively to the company’s steady update cadence and growth messaging.

Market Pulse Summary

This announcement reinforces Strawberry Fields REIT’s focus on disciplined acquisitions, long-term triple-net leases, and stable cash flow, highlighting Q3 2025 rental income of $39.7M and AFFO of $18.1M. The company cites a conservative payout ratio near 47%, supporting reinvestment. Recent SEC filings add context on risk factors, tax considerations, and leverage. Investors may watch future acquisition pacing, debt structure, and AFFO trends as key indicators of execution.

Key Terms

reit financial

"a self-administered real estate investment trust specializing in healthcare-related properties"

A real estate investment trust (REIT) is a company that owns, operates, or finances income-producing real estate, like shopping centers, apartments, or office buildings. For investors, REITs offer a way to invest in real estate without having to buy property directly, often providing regular income through dividends. They function like a mutual fund for real estate, making it easier for people to add property investments to their portfolio.

triple-net leases financial

"enters long-term triple-net leases with skilled operators, a structure that places operating costs"

A triple-net lease is a rental agreement where the tenant pays the base rent plus the three main property expenses: taxes, insurance, and maintenance, so the landlord receives largely rent-only income. For investors, that means steadier, more predictable cash flow and lower day-to-day operating risk for the property owner—like collecting rent from a tenant who also pays the utility bills and repairs—though rising costs or weak tenant credit can still affect returns.

funds from operations financial

"Funds From Operations rose to $20.7 million from $15.2 million in 2024"

Funds from operations (FFO) measures the cash a real estate-focused company generates from its core property operations by adjusting net income to add back non-cash expenses like building depreciation and removing one-time gains or losses from property sales. Investors use FFO like a household’s monthly take-home pay—it's a clearer view of ongoing cash available to pay dividends, maintain properties and fund growth than raw accounting profit.

affo financial

"Adjusted FFO expanded to $18.1 million from $14.3 million"

AFFO (Adjusted Funds from Operations) is a measure of how much cash a real estate company or investment trust generates from its core operations after subtracting routine upkeep, leasing costs and other recurring expenses. Investors use it as a rough proxy for the cash available to pay dividends or reinvest, like checking how much money remains in your household budget after paying regular bills to see what you can spend or save.

master leases financial

"A notable feature of the company’s approach is the use of master leases by geography"

A master lease is a single, overarching lease agreement that sets the terms for renting multiple properties or pieces of equipment under one contract, like a master subscription that covers a whole fleet rather than each item separately. Investors care because it shapes predictable income, long‑term obligations and who bears maintenance or replacement costs — factors that affect a company’s cash flow stability, credit risk and valuation.

unlevered return financial

"The company’s leases typically begin at a 10% unlevered return, with 3% annual increases"

Unlevered return is the rate of profit an investment would generate if it were bought entirely with cash and no borrowed money, showing the asset’s pure operating performance before interest and financing costs. It matters to investors because it lets you compare the underlying strength and risk of different investments on an even footing—like judging two cars’ fuel efficiency without considering different loan payments—so you can see whether using debt would likely help or hurt overall returns.

levered return financial

"The company targets an effective, levered, return of around 17% over time"

Levered return is the gain or loss on an investment after taking into account borrowed money and the interest or fees tied to that borrowing. Because using debt can magnify both profits and losses—like taking a mortgage to buy a rental property that increases potential gains but also raises payments and risk—levered returns show investors the real impact of debt on an investment’s performance.

hud financing financial

"Its debt mix includes long-duration HUD financing, Israeli bond issuances, and conventional debt"

HUD financing is a type of mortgage lending backed or insured by the U.S. Department of Housing and Urban Development, commonly used for residential and multifamily properties. Because the government support acts like a safety net, these loans often offer longer terms and lower interest rates than private alternatives, which can stabilize a property owner’s costs and cash flow—important for investors who care about predictable income and lower default risk.

AI-generated analysis. Not financial advice.

• Chairman and CEO Moishe Gubin used his NobleCon21 presentation to outline Strawberry Fields REIT’s disciplined expansion strategy and long-term approach to healthcare real estate.
• The company now holds long-term leasehold interests in 142 healthcare facilities with more than 15,500 licensed beds across 10 states.
• Gubin emphasized a conservative acquisition philosophy, with each property evaluated from an operator’s perspective despite the company’s role as a self-administered REIT.
• The REIT has consistently collected 100% of rents and maintains long-term triple-net leases with 3% annual increases.
• Third-quarter 2025 results showed continued momentum, including rental income of $39.7 million and AFFO of $18.1 million.
• The company maintains a payout ratio below 50%, allowing retained cash flow to fund acquisitions and support long-term AFFO growth.

SOUTH BEND, Ind., Dec. 31, 2025 (GLOBE NEWSWIRE) -- Strawberry Fields REIT (NYSE American: STRW), a self-administered real estate investment trust specializing in healthcare-related properties, recently attended NobleCon21, where it reinforced how key concepts of disciplined acquisition, predictable cash flow, and long-term stability form the core of its strategy. Speaking at the annual growth event hosted by Noble Capital Markets, Chairman and CEO Moishe Gubin described a methodical expansion approach that has allowed the company to build one of the larger skilled-nursing-focused real estate portfolios in the United States (https://ibn.fm/62vC3).

The company concentrates on the acquisition, and leasing of skilled nursing and other healthcare-related properties. It does not develop or operate the facilities it owns. Instead, Strawberry Fields enters long-term triple-net leases with skilled operators, a structure that places operating costs, maintenance, taxes, and insurance obligations on the tenant while delivering predictable rental income to the REIT.

Gubin noted that the company’s portfolio has expanded significantly since 2015, when it spun out with 33 properties concentrated in Indiana and Illinois. Strawberry Fields now holds long-term leasehold interests in 142 facilities and more than 15,500 licensed beds, representing roughly 1% of U.S. nursing home capacity. This growth aligns with a broader demographic trend: the U.S. elderly care market, valued at $49.29 billion in 2024, is projected to nearly double to $98.19 billion by 2032 (https://ibn.fm/dgMsV).

While the company has grown its geographic footprint, which today spans Indiana, Illinois, Arkansas, Tennessee, Kansas, Kentucky, Missouri, Ohio, Oklahoma, and Texas, Gubin emphasized that expansion has been steady rather than hurried. He described reviewing roughly 300 potential acquisitions each year, submitting offers on a fraction, and ultimately closing five to ten properties annually. According to Gubin, the limiting factor is discipline, not access to capital.

A notable feature of the company’s approach is the use of master leases by geography. Rather than lease each building individually, Strawberry Fields groups properties into larger portfolios for one or two operators in each state. Gubin explained that this reduces risk: tenants cannot “cherry-pick” preferred facilities, and the performance of the portfolio as a whole supports rent coverage. This structure has contributed to the company’s record of collecting 100% of rents for seven to eight consecutive years.

The company’s leases typically begin at a 10% unlevered return, with 3% annual increases. The company targets an effective, levered, return of around 17% over time. Because rent levels are fixed rather than indexed to operator performance, rental income remains consistent regardless of operational variability at the tenant level.

At NobleCon21, Gubin reiterated that the company evaluates each property “as if we were the operator,” even though it remains strictly a landlord. He stressed that integrity, operational experience, and financial stability are the criteria he considers when selecting tenants. These tenant relationships often extend beyond formal asset management, with Gubin himself maintaining regular direct communication.
The presentation also highlighted portfolio diversification. While the company began with concentration in two states and a single tenant group, today the tenant base spans multiple independent operators in ten states.

Financial performance has remained a central element of the company’s message. For the third quarter of fiscal year 2025, Strawberry Fields reported rental income of $39.7 million, up $6.6 million from the prior year, driven by recent acquisitions in Missouri and Oklahoma. Funds From Operations rose to $20.7 million from $15.2 million in 2024, while Adjusted FFO expanded to $18.1 million from $14.3  million. Net income increased to $8.9 million to $6.9 million during the same period (https://ibn.fm/2TbZV).

The company maintains a payout ratio of roughly 47%, which Gubin said is intentionally conservative. Retained cash flow is deployed toward additional acquisitions, supporting the AFFO growth he sees as a key differentiator relative to REITs that distribute nearly all free cash.

Strawberry Fields reports approximately $1.1 billion in assets, at historical cost, and a market capitalization of about $750 million. Its debt mix includes long-duration HUD financing, Israeli bond issuances, and conventional debt. Gubin said a future step for the company is to secure a traditional unsecured line of credit, a feature common among large REITs and one he believes may help align market perception with available liquidity.

For investors tracking the senior housing and skilled nursing segments, Strawberry Fields presents a REIT model built on long-term leases, consistent rent collection, and measured expansion. The company’s approach avoids development exposure and operational risk, focusing instead on cash-flow stability in a sector expected to expand steadily over the next decade. Strawberry Fields is positioning its portfolio to meet rising demand through continued disciplined acquisition and tenant-focused underwriting, a strategy Gubin describes as central to both the company’s current performance and its long-term trajectory.

About Strawberry Fields REIT

Strawberry Fields REIT, Inc., is a self-administered real estate investment trust engaged in the ownership, acquisition, development and leasing of skilled nursing and certain other healthcare-related properties. The Company’s portfolio includes 142 healthcare facilities with an aggregate of 15,500+ beds, located throughout the states of Arkansas, Illinois, Indiana, Kansas, Kentucky, Missouri, Ohio, Oklahoma, Tennessee and Texas. The 142 healthcare facilities comprise 130 skilled nursing facilities, 10 assisted living facilities, and two long-term acute care hospitals.

Safe Harbor Statement

Certain statements in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Those forward-looking statements include all statements that are not historical statements of fact and those regarding our intent, belief or expectations, including, but not limited to, statements regarding: future financing plans, business strategies, growth prospects and operating and financial performance; expectations regarding the making of distributions and the payment of dividends; and compliance with and changes in governmental regulations.

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. These statements are based on management’s current expectations and beliefs and are subject to a number of risks and uncertainties that could lead to actual results differing materially from those projected, forecasted or expected. Although we believe that the assumptions underlying the forward-looking statements are reasonable, we can give no assurance that our expectations will be attained. Factors which could have a material adverse effect on our operations and future prospects or which could cause actual results to differ materially from our expectations include, but are not limited to: (i) the COVID-19 pandemic and the measures taken to prevent its spread and the related impact on our business or the businesses of our tenants; (ii) the ability and willingness of our tenants to meet and/or perform their obligations under the triple-net leases we have entered into with them, including, without limitation, their respective obligations to indemnify, defend and hold us harmless from and against various claims, litigation and liabilities; (iii) the ability of our tenants to comply with applicable laws, rules and regulations in the operation of the properties we lease to them; (iv) the ability and willingness of our tenants to renew their leases with us upon their expiration, and the ability to reposition our properties on the same or better terms in the event of nonrenewal or in the event we replace an existing tenant, as well as any obligations, including indemnification obligations, we may incur in connection with the replacement of an existing tenant; (v) the availability of and the ability to identify (a) tenants who meet our credit and operating standards, and (b) suitable acquisition opportunities, and the ability to acquire and lease the respective properties to such tenants on favorable terms; (vi) the ability to generate sufficient cash flows to service our outstanding indebtedness; (vii) access to debt and equity capital markets; (viii) fluctuating interest rates; (ix) the ability to retain our key management personnel; (x) the ability to maintain our status as a real estate investment trust (“REIT”); (xi) changes in the U.S. tax law and other state, federal or local laws, whether or not specific to REITs; (xii) other risks inherent in the real estate business, including potential liability relating to environmental matters and illiquidity of real estate investments; and (xiii) any additional factors included under “Risk Factors” in our Form S-3/A filed with the SEC on July 25, 2024, including in the section entitled “Risk Factors” in Item 1A of Part I of such report, as such risk factors may be amended, supplemented or superseded from time to time by other reports we file with the SEC.

Forward-looking statements speak only as of the date of this press release. Except in the normal course of our public disclosure obligations, we expressly disclaim any obligation to release publicly any updates or revisions to any forward-looking statements to reflect any change in our expectations or any change in events, conditions or circumstances on which any statement is based.

Investor Relations:

Strawberry Fields REIT, Inc.
IR@sfreit.com
+1 (773) 747-4100 x422

FAQ

What did Strawberry Fields (STRW) report for Q3 2025 rental income?

Strawberry Fields reported $39.7 million in rental income for Q3 2025.

How large is Strawberry Fields' (STRW) portfolio as of Dec 31, 2025?

The REIT holds long-term leasehold interests in 142 healthcare facilities totaling over 15,500 beds across 10 states.

What were STRW's Q3 2025 AFFO and FFO figures?

Q3 2025 Funds From Operations were $20.7M and Adjusted FFO was $18.1M.

What is Strawberry Fields' (STRW) dividend payout policy as of Dec 31, 2025?

The company maintains a payout ratio of roughly 47%, retaining cash to fund acquisitions and AFFO growth.

How does Strawberry Fields structure leases and why does it matter for shareholders?

STRW uses long-term triple-net leases with 3% annual increases, providing predictable rent but limiting rent upside tied to operator performance.

What financing and liquidity profile does STRW have entering 2026?

STRW reports diversified debt including HUD financing, Israeli bonds, and conventional debt and is pursuing a traditional unsecured credit line to improve liquidity.