BB&T Bank Tenant Overview


  • 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
  • Generally well located, in both urban and suburban settings


  • Retail banking industry outlook on necessity of physical locations is evolving

Earnings Highlights

Earnings Summary
  • Net income available to common shareholders was $754 M
  • Net interest margin was 3.49 percent, up two basis points from the prior quarter
  • Non-interest expense was $1.8Billion, up $42 M compared to the third quarter of 2018

Tenant Description

In February 2019, BB&T Corporation (NYSE: BBT) and SunTrust Banks, Inc. (NYSE: STI) announced a merger to become the sixth-largest U.S. bank based on assets and deposits. With 275 years of combined BB&T and SunTrust history, Truist (NYSE: TFC) offers a wide range of services including retail, small business and commercial banking; asset management; capital markets; commercial real estate; corporate and institutional banking; insurance; mortgage; payments; specialized lending and wealth management. Headquartered in Charlotte, North Carolina, Truist serves approximately 12 million households with leading market share in many high-growth markets in the country.

BB&T continues to be a strong net lease asset to hold. While most banks tend to sign ground leases, BB&T typically signs NNN leases. While both leases place zero landlord responsibility on the investor, a NNN lease will carry higher rents than the ground leased counterparts.

Based in Winston-Salem, NC, the company operates more than 1,800 financial centers in 15 states and Washington, DC. BB&T offers a full range of consumer and commercial banking, securities brokerage, asset management, mortgage and insurance products and services.

A Fortune 500 company, BB&T is consistently recognized for outstanding client satisfaction by the US Small Business Administration, Greenwich Associates and others. BB&T also has been named one of the World's Strongest Banks by Bloomberg Markets Magazine, one of the top three in the US and in the top 15 globally.

Average Cap Rate
12 mo avg with 10+ yr lease term
Average Property & Lease
Average Sale Price $3,805,000
NOI $208,514
$/Square Foot $950 - $1,275
Building SF 3,000 - 4,000
Lot Size 0.5 - 2.0 Acres
Lease Term 15 Years
Escalations 1 - 2% Annually
Stock Symbol N/A
Credit Rating
S&P A-
Moody's A2
Average Cap Rate Trend
Rates reflect last 12 mos, short and long-term
Recent Sales Comps
Summerville, SC 6.00%
Jacksonville, FL 5.90%
Buford, GA 5.50%