Brinker International Inc., parent to the Chili’s Grill & Bar and Maggiano’s Little Italy brands, has agreed to sell and lease back as many as 98 units, according to federal filings.
The two deals, which were expected to close this week, involve Dallas-based Brinker’s real estate subsidiaries Sun Equity Funding LLC and Four Corners Property Trust Inc., according to Securities and Exchange Commission filings on Aug. 1.
The two deals total about $314.3 million, according to the filings.
Brinker said it agreed on July 31 to sell and lease back 50 properties in a $158.6 million deal with Atlanta-based SunTrust Equity Funding LLC. Initial terms of the lease-back are 15 years with five-year options. That deal was expected to close Monday.
SunTrust affiliate SunTrust Bank is one of the parties to Brinker’s $1 billion revolving line of credit and provides other banking services, the casual-dining company said.
The second sale/lease-back deal was with FCPT Acquisitions LLC, a subsidiary of Mill Valley, Calif.-based Four Corners Property Trust Inc. That included the sale of 48 Brinker properties for about $155.7 million. The deal also carried the 15-year initial term of the lease and five-year options after.
The Four Corners deal is expected to close on Wednesday.
For the third quarter ended March 28, Brinker’s net income was up 10.7 percent to $46.9 million, or $1.02 a share, from $42.4 million, or 86 cents a share, in the prior-year period. Revenues increased 0.2 percent to $812.5 million from $810.6 million in the same quarter last year.
As of March 28, Brinker International owned, operated and franchised 1,686 restaurants, including 1,634 Chili’s and 52 Maggiano’s.
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