Benzinga | Nov 2, 2021 10:25AM EDT

Generation Income Properties Reports Deal For Pending $3.1M Transaction

Generation Income Properties, Inc. (NASDAQ:GIPR) ("GIP" or the "Company") announced the signing of a definitive Purchase and Sale Agreement under which the Company will acquire an approximately 11,000 SF single-tenant retail building in Chicago, Illinois for total consideration of approximately $3.1 million. The Company expects to fund the acquisition with approximately 50% cash and 50% debt.

The building is occupied by Fresenius Medical Care (NYSE:FMS), which currently holds an investment grade credit rating of BBB- on the Standard & Poor's scale. The tenant has approximately 5 years remaining on its current lease term, with the option for the tenant to extend for two (2) consecutive five (5)-year periods, and annualized base rent of approximately $224,000.The transaction is subject to customary closing conditions and due diligence. David Sobelman, President and Chief Executive Officer of GIP, noted, "The underwriting conducted on this particular location's real estate market's metrics, along with the investment-grade strength of the tenant, made this an attractive acquisition to grow our portfolio."