Strawberry Fields REIT, Inc. (NYSE AMERICAN: STRW) reported first-quarter 2026 results showing growth in key operating metrics. Funds from operations (FFO) rose to $20.9 million, or $0.38 per share, from $18.3 million, or $0.33 per share, in the prior-year quarter. Adjusted funds from operations (AFFO) increased to $18.8 million, or $0.34 per share, from $16.8 million, or $0.30 per share. Net income rose to $9.5 million from $7.0 million, and rental income increased to $40.0 million from $37.3 million. The company also collected 100% of contractual rents during the quarter.
In addition to the solid financial results, Strawberry Fields announced it has signed a term sheet for a $300 million corporate credit facility, which is expected to close in the second quarter. The facility will be used to refinance existing debt and support acquisition growth. This move signals the company's commitment to expanding its portfolio and strengthening its balance sheet. For more details, the full press release can be accessed at https://nnw.fm/C5Ked.
Strawberry Fields REIT is a self-administered real estate investment trust that focuses on the ownership, acquisition, development and leasing of skilled nursing and other healthcare-related properties. The company's portfolio includes 143 healthcare facilities with an aggregate of over 15,600 beds, located across Arkansas, Illinois, Indiana, Kansas, Kentucky, Missouri, Ohio, Oklahoma, Tennessee and Texas. These facilities comprise 131 skilled nursing facilities, 10 assisted living facilities, and two long-term acute care hospitals.
The strong first-quarter performance and the advancement of the credit facility underscore Strawberry Fields' ability to generate consistent cash flows and its strategic approach to growth. The company's 100% rent collection rate highlights the stability of its tenant base and the essential nature of the healthcare services provided at its properties. Investors can find the latest news and updates on the company at https://nnw.fm/STRW.
The credit facility, once closed, will provide Strawberry Fields with additional financial flexibility to pursue acquisition opportunities in the healthcare real estate sector. This is particularly significant given the ongoing demand for skilled nursing and assisted living facilities driven by an aging population. By refinancing existing debt, the company can potentially lower its interest costs and extend maturities, improving its overall financial profile.
Strawberry Fields' results come at a time when the healthcare REIT sector is experiencing increased investor interest due to the defensive nature of healthcare real estate. The company's focus on skilled nursing facilities, which provide essential medical care to patients, positions it well to benefit from demographic trends. The reported growth in FFO and AFFO indicates that Strawberry Fields is effectively managing its portfolio and capitalizing on opportunities within its markets.
