In a $700 million transaction, Gaming & Leisure Properties Inc. (GLPI) has purchased the real estate of Bally’s Lincoln in Rhode Island. It will be leased back to Bally’s at an annual rent of $56 million, plus annual escalators.
The deal brings to five the number of Bally’s branded-casinos owned by GLPI. As part of a Bally’s master lease, the agreement runs through 2039, with four five-year renewal options.
The real estate investment trust announced, “The transaction is primarily funded through debt and is expected to be immediately accretive to GLPI’s adjusted funds from operation.” It is expected to bring GLPI’s debt-to-cash flow ratio up to five or 5.5 times cash flow…