HOUSTON, Feb. 16, 2021 (GLOBE NEWSWIRE) -- Par Pacific Holdings, Inc. (NYSE: PARR) today announced that it entered into a purchase agreement with a subsidiary of Realty Income Corporation, a publicly-traded real estate investment trust, pursuant to which the parties have agreed to consummate a sale-leaseback transaction. The terms of the transaction contemplate that upon closing the Company’s subsidiaries will sell twenty-two (22) retail convenience store/fuel station properties located in the State of Hawaii to Realty Income for an aggregate cash purchase price of $116,100,000, and Par Hawaii will enter into a master lease agreement with Realty Income, to leaseback, on a commercial triple-net basis, the Properties for an initial 15-year term, subject to the Company’s option to extend the lease for up to an additional twenty (20) years.

The Company expects to use approximately $53.2 million of the net cash proceeds to repay debt and associated obligations related to certain of the Properties and the remainder for general corporate purposes.

The Company anticipates that the sale-leaseback transaction will be completed in the first quarter of 2021, subject to satisfaction of certain customary closing conditions for transactions of this type. There will be no disruption of the Company’s operations or customers as a result of the sale-leaseback transaction, as the Company will continue to operate its retail business at the leased Properties pursuant to the lease.

About Par Pacific

Par Pacific Holdings, Inc., headquartered in Houston, Texas, owns and operates market-leading energy and infrastructure businesses. Par Pacific’s strategy is to acquire and develop energy and infrastructure businesses in logistically complex markets. Par Pacific owns and operates one of the largest energy networks in Hawaii with 148,000-bpd of combined refining capacity, a logistics system supplying the major islands of the state and 91 retail locations. In the Pacific Northwest and the Rockies, Par Pacific owns and operates 60,000-bpd of combined refining capacity, related multimodal logistics systems and 33 retail locations. Par Pacific also owns 46% of Laramie Energy, LLC, a natural gas production company with operations and assets concentrated in Western Colorado.