Lamar Acquires 1,500 Billboards in First UPREIT Deal

Lamar Advertising Company has acquired Verde Outdoor's assets in the billboard industry's first-ever UPREIT transaction, adding over 1,500 billboard faces, including 80 digital displays, across 10 states. This acquisition expands Lamar's presence in key markets in the Midwest, Southeast, and Mid-Atlantic regions, bolstering its portfolio with a growing digital platform that supports programmatic advertising channels. Verde Outdoor's owners received common units of Lamar's operating partnership subsidiary, Lamar LP, which track the value of Lamar’s Class A common stock and provide cash distributions equivalent to dividends paid on Lamar’s stock, with options for conversion to cash or shares. The UPREIT structure enables tax-deferred issuance of partnership units, marking a strategic and tax-efficient approach to acquisitions for Lamar. The deal represents a significant milestone for Lamar, with CEO Sean Reilly highlighting the potential for this UPREIT structure to serve as a model for future acquisitions. Verde Outdoor was founded in 2021 by Ernest C. Garcia II and grew rapidly through strategic acquisitions and organic development.