Strawberry Fields REIT reported solid operational and financial performance during the second quarter, with the company collecting all contractual rents from its healthcare property portfolio. The REIT’s portfolio consisted of 142 facilities across 10 states containing approximately 15,496 licensed beds and generating roughly $143 million in annualized base rent. Tenant coverage metrics remained healthy, with the portfolio’s EBITDA-to-rent coverage reaching 2.17x as of May 31, and the company estimated its portfolio value at more than $1.4 billion using a 10% capitalization rate.
Financial performance improved compared with the prior-year period. Six-month revenue rose to $80 million, representing a 6.4% increase, while year-to-date net income climbed to $18.4 million, up from $15.7 million in the comparable 2025 period. For the quarter alone, revenue totaled $40 million, a $2.2 million increase from the second quarter of the prior year. The company’s board approved a quarterly dividend of $0.17 per share, with an annualized dividend of $0.70 per share representing a 4.9% yield.
Management secured additional financial flexibility during the period by closing a new corporate credit facility offering up to $300 million in borrowing capacity. The facility consisted of a $100 million term loan and a $200 million revolving credit line, both with initial three-year terms. The company used proceeds to refinance existing secured debt and maintained approximately $140 million in available capacity under the revolver to support future acquisitions.
The REIT’s acquisition activity is expected to accelerate following a slower deal environment earlier in the year. The company agreed to purchase a hospital campus near Kansas City, Missouri, for $10.4 million, expected to close during the third quarter. Management indicated it is evaluating more than $225 million of additional transactions and reiterated its target of completing $100 million to $150 million in total acquisitions during the year, with much of that activity anticipated to occur later than initially expected.
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