Broadstone Net Lease Breaks Ground on $23 Million Hobby Lobby, Academy Sports Build-to-Suit Projects in Manor, Texas

MANOR, Texas — Aug. 25, 2026 — Broadstone Net Lease, Inc. (NYSE: BNL) has broken ground on two build-to-suit retail developments in Manor, Texas, adding approximately $22.8 million to its committed development pipeline. The projects — a Hobby Lobby and an Academy Sports + Outdoors store — each measure 55,000 rentable square feet and are structured as long-term, single-tenant net leases. Both were directly sourced as off-market transactions and are expected to deliver in the second quarter of 2027.

Project Economics and Lease Structure

The Hobby Lobby development carries an estimated total project investment of $10.34 million, with $1.63 million already deployed and $8.71 million in remaining commitment. The project is underwritten to a 7.1% estimated cash capitalization rate and a 7.4% estimated straight-line yield, reflecting a 15-year lease term with annual rent escalations of 0.5%.

The Academy Sports + Outdoors development is projected to cost $12.44 million in total, with $2.18 million invested to date and $10.26 million remaining. That project is also underwritten to a 7.1% estimated cash capitalization rate, with an estimated straight-line yield of 7.3% and annual rent escalations of 0.4% over a 15-year lease term.

Both properties broke ground in August 2026 and are targeted for stabilization in June 2027. At 55,000 square feet each, the Hobby Lobby project implies a development cost of approximately $188 per square foot, while the Academy Sports project implies approximately $226 per square foot, based on total project investment figures disclosed by the company. Precise street addresses for the sites have not been publicly disclosed.

Broadstone Net Lease disclosed that straight-line yields exceed cash capitalization rates on both projects because they incorporate scheduled annual rent bumps over the full 15-year lease term, computed in accordance with GAAP. The company described the yields as its pro-rata share of the estimated first-year yield, calculated as estimated annual straight-line rental income divided by estimated total project investment.

Off-Market Sourcing and Pipeline Strategy

Broadstone Net Lease characterized both transactions as directly sourced and off-market, a sourcing approach the company has applied across its broader build-to-suit program. Earlier in 2026, BNL announced a separate Academy Sports + Outdoors build-to-suit in Granbury, Texas — also a 55,000-square-foot, 15-year net lease project — as part of a broader development announcement totaling approximately $62.1 million in estimated project investment.

The Manor developments are pre-leased to their respective tenants under the build-to-suit format, with initial occupancy upon delivery effectively 100% under committed long-term agreements.

About Broadstone Net Lease

Broadstone Net Lease is an industrial-focused, diversified net lease real estate investment trust that acquires and develops primarily single-tenant commercial properties net leased on a long-term basis. As of June 30, 2026, BNL's portfolio consisted of 766 individual net leased commercial properties — 759 located across 44 U.S. states and seven located in four Canadian provinces — spanning industrial, retail, and other property types.

Investor relations contact for Broadstone Net Lease is Brent Maedl, Director of Corporate Finance & Investor Relations, reachable at brent.maedl@broadstone.com or 585.382.8507.

Forward-Looking Statements

Broadstone Net Lease noted that statements regarding project timelines, yields, and development outcomes are forward-looking and subject to risks including general economic conditions, interest rate fluctuations, tenant financial health, and the timing and uncertainty of completing property investments. Actual results may differ materially from those anticipated.