Alpine Income Property Trust closed a $15.4 million transaction for a 131,039‑square‑foot property in Houston, Texas, that is net‑leased to Sam’s Club, a subsidiary of Walmart. The 12‑acre site is now the REIT’s fifth‑largest tenant by annualized base rent and adds an AA‑rated, investment‑grade tenant to its portfolio.
The acquisition fits the REIT’s barbell strategy, which balances reliable net‑lease cash flows with higher‑yielding loan opportunities. By adding a stable, long‑term lease from a credit‑worthy anchor, Alpine strengthens portfolio quality, supports AFFO growth, and reinforces its focus on resilient retail anchors in a high‑density market.
Alpine’s Q3 2025 results provide context for the deal: revenue of $14.563 million, a net loss of $1.310 million, and an FFO per diluted share of $0.46. The company raised its full‑year 2025 FFO and AFFO guidance to $1.82–$1.85, reflecting confidence in continued portfolio performance. Management noted that investments of $136 million through September 30 had a weighted‑average initial cash yield of 8.9%, and that recycling properties to manage tenant credit has positioned Lowe’s and Dick’s Sporting Goods as the top two tenants, accounting for 48% of the REIT’s ABR from investment‑grade tenants.
John P. Albright, President and CEO, said the transaction demonstrates Alpine’s disciplined approach to portfolio management: “We continue to selectively recycle properties to manage tenant credit, with Lowe’s and Dick’s Sporting Goods now representing our two top tenants and 48% of our ABR derived from investment‑grade rated tenants.” The comment underscores the REIT’s emphasis on credit quality and stable cash flows.
Sam’s Club has operated at the Houston location for nearly 25 years. The surrounding area has an average household income of $111,000 and a population of over 300,000 within five miles, providing a strong demographic backdrop for the tenant’s long‑term lease. The acquisition not only adds a high‑credit tenant but also expands Alpine’s presence in a densely populated retail corridor, positioning the REIT for continued income growth in a stable market.
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