Strawberry Fields REIT (NYSE AMERICAN: STRW) reported second-quarter 2026 results that underscore its financial stability and growth prospects. The company achieved 100% rent collections, net income of $8.9 million, and funds from operations (FFO) of $20.1 million, or $0.36 per share. Adjusted funds from operations (AFFO) came in at $18.1 million, or $0.32 per share. Rental income increased to $40.0 million from $37.9 million in the same period last year.
A significant development during the quarter was the closing of a new corporate credit facility providing up to $300 million in borrowing capacity, comprising a $100 million term loan and a $200 million revolving credit facility. This facility is intended to refinance existing debt and support future acquisitions, giving the company greater financial flexibility.
Looking ahead, Strawberry Fields announced plans to acquire a hospital campus near Kansas City, Missouri, for $10.4 million during the third quarter. The property will be added to an existing master lease, which is expected to generate $1.04 million in annual base rent with 3% annual escalations.
For the first six months of 2026, FFO rose to $41.0 million, or $0.74 per share, while net income increased to $18.4 million and rental income reached $80.0 million.
Chairman and CEO Moishe Gubin commented that the new credit facility aligns Strawberry Fields more closely with its peers while providing additional flexibility to pursue acquisition opportunities.
The company's portfolio includes 142 healthcare facilities with an aggregate of 15,500 beds across Arkansas, Illinois, Indiana, Kansas, Kentucky, Missouri, Ohio, Oklahoma, Tennessee, and Texas. These facilities comprise 130 skilled nursing facilities, 10 assisted living facilities, and two long-term acute care hospitals.
The announcement of the credit facility and acquisition plans signals Strawberry Fields' commitment to expanding its footprint in the healthcare real estate sector. With a strong balance sheet and access to capital, the company is well-positioned to capitalize on acquisition opportunities and drive long-term shareholder value.
For more details, the full press release is available at https://ibn.fm/5tFFk.
