1 0 obj STOR has no investment grade tenants as of the last reporting period, while O has 43.2%. Oak Street's Chicago office is now an additional office for Blue Owl. Oak Street client service is spectacular. Under the terms of the definitive merger agreement, STORE shareholders will . Already the Second-Largest Buyer During Pandemic, CEO Says Chicago Firm Has $10 Billion Pipeline Oak Street Real Estate Capital owns this 1.3 million square feet industrial property at 50 Rausch . Assuming 6%+, which is below their reported AFFO growth, that's 2.5 cents a share, or equal to the 2021 increase. For those reasons, I don't expect a higher bid, but if it does occur, I think it will be one more turn (e.g. First, investors had anticipated a dividend increase for Q3. The firm was founded in 2009 and headquartered in Chicago, Illinois. Thomas is also the author of The Intelligent REIT Investor Guide (Wiley) and is writing a new book, REITs For Dummies.. CEO up until two quarters ago (no one at Wide Moat Research has any affiliation with STORE Capital outside of owning common equity). Vice President. WMR has a team of experienced multi-disciplined analysts covering all dividend categories, including REITs, MLPs, BDCs, and traditional C-Corps. For more information, please visit us atwww.blueowl.com. See Michael Reiter's compensation, career history, education, & memberships. Our competitive advantages include our experienced team of investment professionals, a global platform and a unifying investment philosophy that is complemented by a set of core business principles. Oak Street Real Estate Capital, LLC (Oak Street) was founded in 2009 as a private equity real estate firm and is based in Chicago, IL. The cookie is used to store the user consent for the cookies in the category "Other. 21917 Rock Wren Rd Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors. GIC Real Estate, Inc. and Oak Street Real Estate Capital, LLC completed the acquisition of STORE Capital Corporation (NYSE:STOR) from Berkshire Hathaway Inc. (NYSE:BRK.A), BlackRock, Inc. (NYSE:BLK),The Vanguard Group, Inc. and others. Use the PitchBook Platform to explore the full profile. Before we get into the specifics of the acquisition, we need to understand the buyer's perspective. I/we have a beneficial long position in the shares of O, BX, FRG, NNN, SRC, VICI, EPRT, WPC either through stock ownership, options, or other derivatives. 5 0 obj Monitor your investments 24 hours a day, around the clock from around the globe. The firm provides strategic institutional capital to managers enhanced by attractive general partnership economics and an active governance role. What does this mean for CRE professionals? You also have the option to opt-out of these cookies. Office 1005, Find new & featured property located in your local city. Alternative asset manager Blue Owl Capital Inc. has agreed to acquire Oak Street Real Estate Capital LLC, of Chicago, and its investment advisory business for $950 million. O's is 13,000 sq ft vs. 26,000 for SRC and 35,000 for STOR. Oak Street offers a unique platform combining direct and indirect real estate strategies across two lines of business, its Net Lease platform and its Seeding and Strategic Capital platform. The reason for the high square footage lies in manufacturing facilities that STOR owns. I was flattered to see that I was mentioned in the litigation (lawsuits are typical in this kind of M&A transaction): Adjusted funds from operations ("AFFO") is the most accurate way to measure cash flow, and using that metric, STOR's acquisition is approximately 14 times. NEW YORKandCHICAGO,Oct. 18, 2021 Blue Owl Capital Inc. (Blue Owl) (NYSE:OWL) announced today it has entered into a definitive merger agreement to acquire Oak Street Real Estate Capital, LLC (Oak Street) and its investment advisory business. The firm's breadth of offerings and permanent capital base enables it to offer a differentiated, holistic platform of capital solutions to participants throughout the private market ecosystem, including alternative asset managers and private middle market corporations. ", Marc Zahr, Co-Founder and CEO of Oak Street, said: "Through its direct lending and GP stakes solutions, Blue Owl has built a one-stop shop for alternative asset managers in solving capital needs. <> O's way bigger at nearly 11,500 properties, but that's a whale very few acquirers can realistically take down. The platform provides strategic institutional capital to managers typically enhanced by attractive general partnership economics and an active governance role. Oak Street Real Estate Capital is a diversified real estate investment firm. It's that real estate division - Oak Street Real Estate Capital - that's officially bidding on STOR. The _ga cookie, installed by Google Analytics, calculates visitor, session and campaign data and also keeps track of site usage for the site's analytics report. The firm was founded in 2009 and headquartered in Chicago, Illinois. The firm was founded in 2009 and headquartered inChicago, Illinois. The Net Lease platform is focused on acquiring properties net-leased to investment grade and creditworthy tenants. Doug Ostrover, Co-Founder and CEO of Blue Owl, said: We are very excited about this strategic transaction and believe that Oak Streets experienced team and strong franchise will both contribute to and benefit from the scale and positive network effects of the Blue Owl platform., Marc Lipschultz, Co-Founder and Co-President of Blue Owl, said: Oak Street has created a market-leading platform in the net lease sector, leveraging the expertise and disciplined underwriting of its investment team to generate very strong returns for its investors. Blue Owl has approximately 250 employees across its Direct Lending and GP Capital Solutions divisions and has six offices globally. That last one is relevant as STOR has 30 days to shop the deal to another buyer. Blue Owl Capital is an alternative asset manager that provides investors access to Direct Lending and GP Capital Solutions strategies through a variety of products. <> AddThis sets this cookie to track page visits, sources of traffic and share counts. Marketing and Client Relations. Forward-Looking StatementsCertain statements made in this release are forward looking statements within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. View Michael Reiter's business profile as Chief Operating Officer at Oak Street Real Estate Capital LLC. Kirkland & Ellis LLP acted as legal counsel to Blue Owl. Oak Street manages both commingled funds and separate accounts on. To ensure this doesnt happen in the future, please enable Javascript and cookies in your browser. Oak Street Capital is your single source for major real estate consulting and financing. Berkshire Global Advisors served as financial advisor andWillkie Farr& Gallagher LLP acted as legal counsel to Oak Street. It is delivered on an as is basis without warranty or liability. Oak Street offers a unique platform combining direct and indirect real estate strategies across two lines of business, its Net Lease platform and its Seeding and Strategic Capital platform. Townhouse | Five Palm | 5 Star Facilities, Custom Built | N Frond | Skyline View | Must View, Exclusive | Upgraded | Fully Furnished | VOT. Join iREIT on Alpha today to get the most in-depth research that includes REITs, mREIT, Preferreds, BDCs, MLPs, ETFs, Builders, Asset Managers, and we added Prop Tech SPACs to the lineup. Oak Street specializes in providing unique and flexible real estate solutions to a variety of organizations including corporations, healthcare systems, universities and government entities. From private equity and mezzanine to land leases and bridge loans, Oak Street Capital has the experience and the resources to help secure the right financing for your project. The Seeding and Strategic Capital platform was founded with the focus of investing in early-stage real estate managers. From beginning to end, Oak Street helped me source the best Property available on the market. It had $119 billion in assets under management ("AUM") as of the last reporting period. That's a healthy improvement over the pre-deal's 11.8 times, but keen investors know what STOR's 5-year AFFO multiple is around 15.5 times (it's a little over 16 times since inception). In addition,Marc Zahrwill join Blue Owls Board of Directors and Executive Committee. The deal is going through at about a 10% premium to net asset value vs. a 10% discount on Sept. 14. <> Oak Street operate to the most professional standards. stream Oak Streets active net lease funds primarily focus on single tenant properties, net leased to investment grade and creditworthy tenants, under long duration leases, providing for predictable income. SCOTTSDALE, Ariz. & SINGAPORE & CHICAGO, February 03, 2023--STORE Capital Corporation (NYSE: STOR, "STORE", "STORE Capital" or the "Company"), an internally managed net-lease real estate . These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside Blue Owls control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Oak Street signed MetLife to 12-year triple net leases on the buildings . A supplemental investor presentation on the transaction is available on the Investor Resources section of Blue Owls website atwww.blueowl.com. In September 2022, Oak Street and GIC agreed to acquire Store Capital for $14 Billion. The unit, Petershill, in November purchased a minority stake in Oak Street Real Estate Capital LLC, which has raised over $6.5 billion since launching in 2009. Its peer group includes Realty Income (O), ADC, EPRT, SRC, NTST, NNN, and ADC. The cookie is used to store the user consent for the cookies in the category "Performance". stream By providing your email address below, you are providing consent to Blue Owl to send you the requested Investor Email Alert updates. Oak Street Real Estate Capital is a diversified real estate investment firm. The platform seeks to work with strongly aligned management teams with leading investment capabilities, oftentimes led and controlled by women and minorities. Bed Bath & Beyond will sell about half of its real estate to a private equity firm and then lease back the space, a deal expected to earn the company more than $250 million. This Q4 retail quarterly index report reveals how economic headwinds impacted key retail CRE categories during the critical holiday shopping season, and what their performance tells us about consumer behavior and brick-and-mortar retail in the year ahead. September 2021 "Illini Angels" is recruiting . Sophie Aldrich, CFA. As a company valued everyday by the stock market, that matters. Why? When typing in this field, a list of search results will appear and be automatically updated as you type. The firm had approximately $70.5 billion of assets under management as of September 30, 2021. AddThis sets this geolocation cookie to help understand the location of users who share the information. Is basis without warranty or liability delivered on an as is basis without warranty or liability a list search. 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