Fitch Ratings assigned first-time ratings to Four Corners Property Trust with a stable outlook.
The rating agency assigned a BBB- rating to the company's issuer default rating, as well as to the senior secured revolving credit facility and senior secured term loan ratings of Four Corners Operating Partnership LP. Fitch also assigned a BBB-(exp) rating to the operating partnership's senior unsecured notes.
According to the rating agency, the ratings take into account anticipated cash flow stability based on Four Corners Property's robust tenant credit characteristics, sound tenant EBITDAR coverage of rents and long-dated triple-net leases.
"Further, the geographic diversity of the company's portfolio insulates cash flows against regional economic downturns," the agency said in a note, adding that tenant and industry concentration and unproven access to nonbank unsecured debt capital offset the credit positives.