Plumas Bancorp in Reno, Nev., has reached a sale-leaseback agreement for two office properties in California.
The company disclosed in a regulatory filing that it plans to sell the administrative offices in Quincy to Brookline Branch Services for about $5.6 million. The sales should result in a $4.9 million pretax gain in the second quarter.
Plumas agreed to lease the properties for an initial 15-year period at an annual rent of $463,000 with 3% annual increases. There are three five-year renewal options. The first-year rental expense will be partially offset by eliminating the building’s depreciation expense and by investing proceeds.
Plumas said it is evaluating using some of the proceeds to reposition its securities portfolio.