Spirit Finance Corporation Completes $200 Million Sale/Leaseback Transaction with 84 Lumber Company

  
    
  
  
    
      Spirit Finance Corporation (NYSE: SFC) (“Spirit”), 
      a real estate investment trust focused on single tenant, operationally 
      essential real estate, today announced that it completed a $200 million 
      sale/leaseback transaction with affiliates of 84 Lumber Company, the 
      nation’s leading privately held materials and 
      services supplier to professional builders, on April 27, 2007. The 
      acquisition was partially funded with a $150 million long-term 
      fixed-rate mortgage note financed through Barclays Capital Real Estate 
      Inc. and secured by the real estate assets acquired. Spirit purchased 53 
      wholesale/retail lumber sales and supply centers and one truss 
      manufacturing plant. A subsidiary of 84 Lumber Company has agreed to 
      lease the properties for an initial period of 20 years, subject to a 
      master lease with a multi-windowed purchase option and multiple renewal 
      options.
    
    
      Christopher H. Volk, President and CEO of Spirit Finance, commented, “We 
      are very excited to add the 84 Lumber Company to our growing roster of 
      tenants given their high quality financial and business profile. This 
      transaction demonstrates once again our ability to use our efficient 
      cost of capital to help owners of single tenant, operationally essential 
      real estate optimize their capital efficiency.”
    
    
      Dan Wallach, Chief Financial Officer of 84 Lumber Company stated “We 
      are pleased to commence a long-term real estate financing relationship 
      with Spirit. This initial transaction serves to fund a stable organic 
      growth strategy, and Spirit has provided us a follow-on commitment for 
      future transactions. We chose Spirit after considering a number of 
      alternatives, and are pleased with the flexible and tailored terms we 
      and the Spirit team worked together to achieve.”
    
    
      About 84 Lumber Company
    
    
      Founded in 1956 by Joe Hardy in Eighty Four, Pa., 84 Lumber Company is 
      the nation’s leading privately held building 
      materials and services supplier to professional builders. 84 Lumber 
      operates more than 475 locations, including 24 components manufacturing 
      facilities. Through a dedicated team of 10,500 well-trained, 
      knowledgeable associates nationwide, 84 Lumber provides professional 
      contractors, remodelers and do-it-yourselfers with personal service 
      second to none. For more information on 84 Lumber Company, please visit 
      their web site at www.84lumber.com.
    
    
      About Spirit Finance Corporation
    
    
      Spirit Finance Corporation provides customized, flexible sale/leaseback 
      financing solutions for single tenant, operationally essential real 
      estate assets that are vital to the operations of retail, service and 
      distribution companies. The company’s core 
      markets include free-standing automotive dealers, parts and service 
      facilities, drugstores, educational facilities, movie theaters, 
      restaurants, supermarkets, and other retail, distribution and service 
      businesses. Additional information about Spirit Finance Corporation is 
      available on its website at www.spiritfinance.com.