MOUNTAINSEED AND PLUMAS BANCORP ANNOUNCE SALE-LEASEBACK TRANSACTION

RENO, Nev., Feb. 15, 2024 (GLOBE NEWSWIRE) -- Plumas Bancorp (Nasdaq: PLBC), the parent company of Plumas Bank, and MountainSeed are proud to announce a sale-leaseback deal valued at approximately $25.7 million. This transaction, which was completed on February 14, 2024, further exemplifies MountainSeed’s continued focus on sale-leaseback transactions and the advantages that this strategy affords community banks and credit unions.

MountainSeed Real Estate Services acquired nine properties operated as branches from Plumas Bank and leased each property back to the bank for a 15-year lease term. Plumas Bank will continue to operate the branch offices as usual.

MountainSeed and Plumas Bank have agreed to complete a second sale-and-leaseback transaction for three additional Plumas Bank properties. The sale is expected to be completed in March 2024.

“We are thrilled to work with Plumas Bank, and our capital markets team’s momentum is off to a strong start in 2024. In this specific transaction, the strategy is expected to improve the Bank’s earnings profile and increase their book value in a meaningful way. Everyone on their team has been a pleasure to work with throughout the process, and we are excited for a long-term relationship with such a well-run bank,” stated Patrick Roberts, Chief Revenue Officer at MountainSeed.

“This sale-leaseback transaction will result in significant benefits to both our shareholders and the communities that we serve,” said Andrew J. Ryback, Director, President and CEO of Plumas Bank and Plumas Bancorp. “The gains that we’ll generate from the transaction will be used to offset unrealized losses in our investment portfolio upon the restructuring of a portion of our portfolio. The restructure will result in higher yields and interest income streams for years to come while increasing our book value per share in the current period.”

Ryback added, “For our communities, this transaction commits us to serving them for the long term — 15 years with an option for 15 more. MountainSeed’s expertise helped to facilitate a powerful sales-leaseback transaction which supports our long-term objectives.”

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About MountainSeed
MountainSeed acts as a beacon of trust and innovation in the real estate and banking industries, serving as a partner to over 600 community banks and credit unions across 50 states. MountainSeed has become the most active acquirer of bank branches through sale-leaseback transactions. In addition, the company processes over $5 billion in commercial real estate transactions monthly, offering expertise to clients in the commercial real estate and lending industries. Their tech-enabled business provides clients access to a marketplace of products, services, and real estate data.