MCLEAN, Va., April 22, 2020 (GLOBE NEWSWIRE) -- Gladstone Commercial Corporation (Nasdaq: GOOD) (“Gladstone Commercial”) is providing the following business update regarding portfolio performance and economic stability during this time of significant market volatility related to the global COVID-19 pandemic.
Our team has transitioned seamlessly to the work-at-home arrangement and is focusing on current portfolio performance and economic stability, with a continued emphasis on maintaining appropriate liquidity, inclusive of capital markets initiatives. In addition, we continue to have active market engagement with a primary focus toward industrial investment opportunities.
Our primary focus is on managing the existing portfolio to maintain cash flow to maximize profitability and shareholder value, with the following highlights:
In April 2020, Gladstone Commercial granted deferrals to three (3) tenants representing approximately 2% of total portfolio rents. The agreements with these tenants include current partial payment in exchange for rent deferrals of varying terms with deferred amounts to be paid by the respective tenant back to Gladstone Commercial, for the period starting in July 2020 and ending through March 2021.
Gladstone Commercial has received additional rent relief requests from certain tenants and reasonably expects to receive more of such requests in the near term. Gladstone Commercial’s acquisitions and asset management teams intend to predominantly seek extended lease term, increased rent, near term rent deferral repayment, and other favorable lease modifications as consideration for granting relief for certain tenants that have been materially and adversely impacted by the ongoing COVID-19 pandemic, as assessed by us. However, Gladstone Commercial is unable to quantify the outcomes of the negotiation of relief packages, the success of any tenant’s financial prospects or the amount of relief requests that we will ultimately receive or grant.
Our risk will likely be mitigated by our portfolio composition and focus on industrial distribution and warehouse investments.
Our recent debt and equity capital markets activity has our business well positioned for the current market uncertainty.
We continue to monitor our portfolio and intend to maintain a conservative liquidity position for the foreseeable future.
About Gladstone Commercial (Nasdaq: GOOD)
Gladstone Commercial is a real estate investment trust focused on acquiring, owning and operating net leased industrial and office properties across the United States. As of December 31, 2019, Gladstone Commercial’s real estate portfolio consisted of 118 properties located in 28 states, totaling approximately 14.2 million square feet. For additional information please visit www.gladstonecommercial.com
For Broker Submittals:
South Central: | Midwest/Northeast: |
Buzz Cooper | Matt Tucker |
Senior Managing Director | Senior Managing Director |
(703) 287-5815 | (703) 287-5830 |
Buzz.Cooper@gladstonecompanies.com | Matt.Tucker@gladstonecompanies.com |
Southeast / West: | |
Brandon Flickinger | |
Managing Director | |
(703) 287-5819 | |
Brandon.Flickinger@gladstonecompanies.com | |
Investor or Media Inquiries:
Bob Cutlip | |
President – Gladstone Commercial Corporation | |
(703) 287-5878 | |
Bob.Cutlip@gladstonecompanies.com |
All statements contained in this press release, other than historical facts, may constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Words such as “anticipates,” “expects,” “intends,” “plans,” “believes,” “seeks,” “estimates” and variations of these words and similar expressions are intended to identify forward-looking statements. Readers should not rely upon forward-looking statements because the matters they describe are subject to known and unknown risks and uncertainties that could cause the Gladstone Commercial’s business, financial condition, liquidity, results of operations, funds from operations or prospects to differ materially from those expressed in or implied by such statements. Such risks and uncertainties are disclosed under the caption “Risk Factors” of the company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2019, as filed with the SEC on February 12, 2020 and certain other filings we make with the SEC. Gladstone Commercial cautions readers not to place undue reliance on any such forward-looking statements which speak only as of the date made. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
For Investor Relations inquiries related to any of the monthly dividend paying Gladstone funds, please visit www.gladstone.com.
SOURCE: Gladstone Commercial Corporation
Source: Gladstone Commercial Corporation