Four Corners Takes Over a Jiffy Lube Property, Expands Portfolio

Four Corners Property Trust FCPT recently announced the acquisition of a newly constructed Jiffy Lube automotive property for $2.7 million. The move underscores the company’s efforts to expand and diversify its portfolio.

Priced at a 7% cap rate on rent as of the closing date and exclusive of transaction costs, the property is located in a strong retail corridor in Colorado. The property is corporate-operated under a long-term triple-net lease with approximately 12 years of term remaining.

More on FCPT

This real estate investment trust (REIT), mainly engaged in the ownership and acquisition of high-quality, net-leased restaurant and retail properties, has a track record of acquisitions.

In early December, FCPT acquired a Baptist Health property for $4.7 million. Located in a strong corridor in Alabama, the property is corporate-operated under a long-term net lease with around 10 years of term remaining.

In the third quarter of 2025, FCPT acquired 28 properties totaling $82 million, with a weighted-average remaining lease term of 11.6 years. The acquired properties belonged to diverse industries, boosting the stability in revenue generation. 39% were medical, 36% auto service, 16% quick service restaurants and 9% casual dining restaurants by purchase price.

The above purchases fall in line with Four Corners’ strategy of structuring a resilient portfolio that will withstand varied economic cycles. However, the company’s growth plans could encounter challenges due to its sizable $1.21 billion debt load, which may continue to keep borrowing costs high.

In the past three months, shares of this Zacks Rank #4 (Sell) company have declined 10.2% compared with the industry's fall of 0.7%.

Stocks to Consider

Some better-ranked stocks from the broader REIT sector are Cousins Properties CUZ and Digital Realty Trust DLR, each carrying a Zacks Rank of 2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for Cousins Properties’ 2025 FFO per share is pegged at $2.84, which indicates year-over-year growth of 5.6%.

The Zacks Consensus Estimate for DLR’s full-year FFO per share stands at $7.35, which calls for an increase of 9.5% from the year-ago period.

Note: Anything related to earnings presented in this write-up represents FFO, a widely used metric to gauge the performance of REITs.

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This article originally published on Zacks Investment Research (zacks.com).

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