Gladstone Land Corporation Announces Farmland Acquisition in California
MCLEAN, Va., July 24, 2014 (GLOBE NEWSWIRE) -- Gladstone Land Corporation (Nasdaq:LAND) ("Gladstone Land" or the "Company") announced today that it has acquired 68 acres of prime strawberry ground in Oxnard, California, for $6.9 million. The property has water on site and has been farmed for row crop fruits and vegetables for decades. Gladstone Land also signed a three-year lease that escalates annually with a major international grower.
"We are very excited to add such a premium, high-value strawberry farm to our portfolio. Opportunities to acquire properties like this one are very rare, especially with such a large and reputable tenant that has been farming the ground for years. The value and income growth potential of this farm is unique in the industry, and we believe we will benefit from this acquisition for many years to come. This transaction falls in line with others that we have done with this tenant, a global leader in the berry business. This is another example of a strategic partnership working to achieve our respective goals," said Bill Reiman, Managing Director for the Company. "We now own 27 farms across the U.S. that produces a variety of high-value fruits and vegetables."
"We have a great backlog of farms we hope to acquire, and we are working diligently to close them in the near future. We believe that July and August will be periods of continued growth for us in which we expect to continue to add to our farm portfolio. There is no guarantee that we will close on all or any of these acquisitions; however, we believe the likelihood is good. We will also be filing our quarterly financial report and will have our earnings call for analysts, stockholders and others interested in our Company on August 5, 2014. I hope those reading this press release can tune in to the call," said David Gladstone, Chairman and CEO.
About Gladstone Land Corporation:
Gladstone Land is seeking to be a real estate investment trust that pays monthly dividends to its stockholders. The Company invests in farmland located in major agricultural markets in the United States that it leases to corporate and independent farmers and intends to report the current value of its farmland on a quarterly basis. The Company currently owns 6,507 acres on 27 farms in 5 different states across the U.S., appraised at an aggregate value of approximately $138 million. Its acreage is predominantly concentrated in locations where its tenants are able to grow row crops, such as berries and vegetables, which are planted and harvested annually or more frequently, as well as more permanent crops, such as blueberries. The Company also may acquire property related to farming, such as storage facilities utilized for cooling crops, processing plants, packaging facilities and distribution centers. The Company has paid 17 consecutive monthly cash distributions on its common stock since its initial public offering in January 2013. Additional information can be found at http://www.gladstoneland.com/.
Owners or brokers who have farmland for sale in the United States should call (703) 287-5839.
For Investor Relations inquiries related to any of the monthly dividend-paying Gladstone funds, please visit www.Gladstone.com and www.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 the foregoing 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 Company'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, 2013, as filed with the SEC on February 24, 2014. The Company 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, except as required by law.
CONTACT: Gladstone Land, 703-287-5893
Released July 24, 2014