Strawberry Fields REIT (NYSE AMERICAN: STRW) has announced its second-quarter 2026 financial results, showcasing a period of solid operational performance and strategic financial moves. The company reported 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, reflecting the company's ability to grow its revenue stream.
A key highlight of the quarter was the closing of a new corporate credit facility that provides up to $300 million in borrowing capacity. This facility includes a $100 million term loan and a $200 million revolving credit facility. The primary purposes of this credit facility are to refinance existing debt and to support future acquisitions. This move aligns Strawberry Fields more closely with its peers and provides additional flexibility to pursue acquisition opportunities, as noted by Chairman and CEO Moishe Gubin.
In addition to the credit facility, the company announced plans to acquire a hospital campus near Kansas City, Missouri, for $10.4 million during the third quarter. This 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. This acquisition is part of Strawberry Fields' strategy to expand its portfolio of healthcare properties and enhance its income-generating assets.
For the first six months of 2026, the company reported FFO of $41.0 million, or $0.74 per share, and net income of $18.4 million. Rental income for the half-year reached $80.0 million. These results indicate a positive trend in the company's financial performance, driven by its focus on skilled nursing and healthcare-related properties.
Strawberry Fields REIT is a self-administered real estate investment trust that owns, acquires, develops, and leases skilled nursing and other healthcare-related properties. Its portfolio includes 142 healthcare facilities with 15,500 beds across Arkansas, Illinois, Indiana, Kansas, Kentucky, Missouri, Ohio, Oklahoma, Tennessee, and Texas. The facilities comprise 130 skilled nursing facilities, 10 assisted living facilities, and two long-term acute care hospitals.
The successful quarter and strategic financing are significant for Strawberry Fields as they provide the capital necessary to continue expanding its footprint in the healthcare real estate sector. With a strong balance sheet and a clear acquisition pipeline, the company is well-positioned to capitalize on opportunities in the market. For more details on the full press release, visit https://ibn.fm/5tFFk. For the latest news and updates on STRW, refer to the company's newsroom at https://ibn.fm/STRW.
