BankUnited TENANT OVERVIEW
Updated: September 9, 2016
- Leases afford rental increases throughout the primary term
- Investment grade tenant
- Many locations are occupied as fee simple leases, allowing for depreciation versus the preferred ground lease scenario of most other bank brands
- Retail banking industry outlook on necessity of physical locations is evolving
- When located as a part of a shopping center, some use restrictions may apply
- Some Leases require landlord obligations to roof and structure
2017 Q4 Summary
- For the year ended December 31, 2017, the Company reported net income of $614.3 million, or $5.58 per diluted share, compared to $225.7 million, or $2.09per diluted share, for the year ended December 31, 2016.
- Net interest income increased by $11.3 million to $238.8 million for the quarter ended December 31, 2017 from $227.5 million for the quarter ended December 31, 2016.
Bank United is a ranked as one of the “Best Banks in America 2016” by Forbes and is one of the largest independent depository institutions headquartered in Florida, by assets.
While all banks were significantly challenged during the recent recession, BankUnited was purchased by a large investor group with a significant capital infusion, creating a new, stable platform from which to grow. Having expanded from their Miami, FL headquarters throughout Florida, they are currently working to penetrate the New York City metro area to better serve their large client base with dealings in both markets.
Their expansion and continued growth has been a testament to their creative founding. Many of the larger institutions expanding in Florida at the same time as BankUnited were willing to sign long term ground leases with rents exceeding $200k-$300k annually, requiring the bank to then build and pay for all of the physical improvements, often times costing in excess of an additional $2M. Conversely, BankUnited took a more conservative approach to their expansion; renovating and redeveloping old banks, QSRs, and restaurant locations, minimizing their occupancy cost while maximizing their visibility and accessibility to accommodate today's banking customer. This is important to the net lease investor, as it adds a layer of protection through lower rents and $/sf costs on average for a BankUnited site versus their peer group.
BankUnited was established on May 21, 2009, when a group of investors led by John A. Kanas acquired the assets and most of the liabilities of the former BankUnited, FSB from the Federal Deposit Insurance Corporation. The group recapitalized BankUnited with a $900 million investment, making it one of the most well capitalized financial institutions in the country.
On January 28, 2011, BankUnited Inc. began trading on the New York Stock Exchange under the symbol BKU. The initial public offering was the largest for a US bank in history.
BankUnited has more than $12 billion in assets and more than 95 branch locations and focuses on the financial needs of growing companies and their executives, consumers and commercial and middle-market businesses in Florida's thriving coastal regions. The bank offers a broad range of online services, treasury management tools for businesses and traditional depository and lending products.
The latest information before the bankruptcy credited BankUnited with about 2.1% of all deposits in Florida, ranking it 8th in the state. BankUnited, has 90+ locations, $1.47 billion in Net Worth and over $63 million in net income.
Average Cap Rate
12 mo avg with 10+ yr lease term
Average Property & Lease
|Average Sale Price
||$1,200 - $1,600
||2,500 - 5,000
||0.50 - 1.00 Acres
||10 - 20 Years
||10% Every 5 Years
Average Cap Rate Trend
Rates reflect last 12 mos, short and long-term
Recent Sales Comps
|Lighthouse Point, FL
Featured Tenant Profiles
Avg. Cap Rate: 6.40%
Avg. Cap Rate: 5.72%
Avg. Cap Rate: 5.85%