Rising Dividend, Better Credit Rating Propelling Store Capital

Shares of Store Capital (STOR) - Get Report are up 23 percent so far in 2016, far outperforming an already hot REIT sector. The company's CEO Christopher Volk said the good times will continue to roll as long as the market keeps demanding the capital it provides. 'We are tapping into a need,' said Volk. 'There are over 70,000 middle market and larger businesses that need long-term capital and we are in a position to provide it.' In the second quarter, Store invested $356.1 million in 115 properties at an initial weighted average cap rate of 7.8 percent. Store Capital is one of the largest and fastest growing net-lease REITs and owns a well-diversified portfolio that consists of investments in over 1,500 property locations in 48 states. The company primarily invests in single-tenant properties such as chain restaurants, supermarkets, drugstores and distribution facilities. As for the state of the economy, Volk said the businesses Store Capital supports are generally in 'good shape'. Nevertheless, he said 'worries about regulations' continue to abound.