VICI’s Caribbean Entry Begins with Club Med St. Croix Deal

Research evidence excerpt

VICI’s Caribbean Entry Begins with Club Med St. Croix Deal

USA | Leisure

VICI Properties EquityJuneResearch15, 2026

FLASH NOTEVICI’s Caribbean Entry Begins with Club Med St.

RATING BUYCroix Deal

PRICE $28.52^

The deal announcement by VICI casts a wider net in experiential real estate

outside of gaming, which should be incrementally positive for the shares. Our PRICE TARGET | % TO PT $39.00 | +37%

perspective on the all-inclusive leisure market is that it represents an area 52W HIGH-LOW $34.01 - $26.55

of specific growth. Further, we believe the value of real estate attached to FLOAT (%) | ADV MM (USD) 99.3% | 231.75

productively operated brands should generate a premium over time. In this MARKET CAP $30.5B

regard, the deal announcement should support our thesis. TICKER VICI ^Prior trading day's closing price unless otherwise

noted.

On 6/15, VICI Properties and global all-inclusive resort operator, Club Med, announced the $20M

acquisition and $55M planned redevelopment of the Carambola Beach Resort in St. Croix, U.S.

Virgin Islands. Following the acquisition, VICI has entered into a long-term NNN lease with Club Med

and will finance the resort's comprehensive redevelopment.

The NNN lease is structured with a 15-year initial term and two 10-year extension options, with rent

escalators that we believe include floors and caps in-line with VICI's gaming deals (typically ~1%

and 3%). The deal pricing is not disclosed but our impression is that a high-7% cap is a reasonable

approximation.

The Carambola Beach Resort is a historic 150-key resort originally built in 1986 by Laurance

Rockefeller (founder of RockResorts) and represents Club Med's re-entry onto U.S. territory. The

resort will focus on environmentally friendly and low density development with construction