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Four Corners Continues its Acquisition Spree to Boost Portfolio

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Four Corners Property Trust (FCPT - Free Report) announced the acquisition of the Christian Brothers Automotive property through a sale-leaseback for $4.3 million.

The property is located in strong retail corridors with high traffic and attractive demographics in Illinois. The property is under a long-term lease guaranteed by the corporate entity. The transaction was priced at a cap rate in line with prior FCPT transactions.

The company also acquired an automotive service property for $5.3 million. Leased to a national operator, this newly constructed property is located in a highly trafficked corridor in Arkansas. Priced at a 6.8% cap rate on rent as of the closing date, exclusive of transaction costs, the property is corporate-operated under a long-term, triple-net lease. This will help secure FCPT's long-term cash flows.

These acquisitions highlight the company’s expansionary and diversification efforts, which will aid future revenue growth.

FCPT’s Past Acquisitions

This real estate investment trust (REIT), mainly engaged in the ownership and acquisition of high-quality, net-leased restaurant and retail properties, has a track record of acquisitions.

Apart from the above-mentioned Christian Brothers Automotive property acquisition, this week FCPT acquired four Christian Brothers Automotive properties through sale-leaseback for $16.9 million. The company has also acquired the Caliber Collision property for $4.2 million this week. In May 2025, it acquired three Express Oil Change & Tire Engineers properties for $9.5 million.

The above purchases fall in line with FCPT’s strategy of structuring a portfolio that will withstand varied economic cycles. However, the company’s expansion may face potential headwinds in an elevated interest-rate environment, which could keep its borrowing costs high.

Over the past three months, shares of this Zacks Rank #3 (Hold) company have lost 4.4% compared with the industry's decline of 3.3%.

 

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Stocks to Consider

Some better-ranked stocks from the broader REIT sector are CareTrust REIT (CTRE - Free Report) and Uniti Group (UNIT - Free Report) , each currently carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for CTRE’s 2025 FFO per share has moved two cents northward to $1.81 in the past week.

The consensus estimate for UNIT’s 2025 FFO per share has been revised upward by 4.2% to $1.50 over the past month.

Note: Anything related to earnings presented in this write-up represents FFO, a widely used metric to gauge the performance of REITs.


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