Broadstone Net Lease Announces $303 Million Build-to-Suit Development for a Fortune 20 Investment-Grade Company (Form 8-K)

Broadstone Net Lease Announces $303 Million Build-to-Suit Development for a
Fortune 20 Investment-Grade Company

VICTOR, N.Y. - Broadstone Net Lease, Inc. (NYSE: BNL) ("BNL", the "Company", "we", "our", or "us"), today announced that it has added a new development project to its pipeline of build-to-suit commitments, entering into a joint venture to develop an advanced technology facility in Colorado. BNL's estimated total investment in the project is approximately $303 million with a year-one cash yield of approximately 8.5%, a year-two cash yield of approximately 9.7%, and a straight-line yield of approximately 11.6%. The triple-net lease has an initial term of 15 years with two 5-year extension options and annual rent increases of 3%.

"This transaction represents a landmark moment for Broadstone Net Lease and is a powerful validation of our build-to-suit development strategy," said John Moragne, BNL's Chief Executive Officer. "Securing a long-term, triple-net lease with one of the world's premier companies at an initial cash yield of 8.5% and a straight-line yield of 11.6% is an exceptional outcome that reflects the unique capabilities of our team and the strength of our long-standing developer relationships. Upon rent commencement, this Fortune 20 Investment-Grade Company will become BNL's largest tenant, and this transaction is expected to be meaningfully accretive to our 2027 and 2028 earnings."

TRANSACTION OVERVIEW

BNL has entered into a joint venture with an existing development partner to develop an approximately 112,000 square foot advanced technology facility in Colorado. The selected site offers significant strategic advantages, including proximity to key customers, access to affordable and reliable power, and a well-established regional technology ecosystem.

(in thousands) Property						Total Rentable Square Feet						Start Date						Target Stabilization Date						Lease Term (Years)						Annual Rent Escalations						Estimated Total Project Investment						Cumulative Investment						Estimated Remaining Investment						Estimated Cash Capitalization Rate						Estimated Straight-line Yield 1
In-process industrial:
Fortune 20 Investment-Grade Company (Colorado)						112						Jul. 2026						Mar. 2027						15.0						3.0		%				$	303,000					$	69,778					$	233,222					8.5		%				11.6		%

1 Represents our pro-rata share of the estimated first year yield to be generated on a real estate investment, which was computed at the time of investment based on the estimated annual straight-line rental income computed in accordance with GAAP, divided by the estimated total project investment.

The development will be delivered as a powered shell with substantial completion and rent commencement anticipated by March 2027. The site is designed to accommodate a second powered shell building, and the tenant holds a right of first refusal on any future development thereof under the lease. The joint venture owns and controls the land for the full campus, providing future development optionality.

About Broadstone Net Lease, Inc.

BNL is an industrial-focused, diversified net lease REIT that invests in primarily single-tenant commercial real estate properties that are net leased on a long-term basis to a diversified group of tenants. Utilizing an investment strategy underpinned by strong fundamental credit analysis and prudent real estate underwriting, as of March 31, 2026, BNL's diversified portfolio consisted of 773 individual net leased commercial properties with 766 properties located in 44 U.S. states and seven properties located in four Canadian provinces across the industrial, retail, and other property types.