Schorsch Makes $9B Pitch for Cole Credit III

NEW YORK CITY-Having recently completed its acquisition of American Realty Capital Trust III, American Realty Capital Properties Inc. is setting its sights on nontraded REIT Cole Credit Property Trust III. ARCP said Wednesday that it had offered to buy CCPT III in a deal valued at more than $9 billion, including assumption of debt.

In a letter dated March 19, Nicholas Schorsch, ARCP’s chairman and CEO, wrote to CCPT III’s board, “We believe our offer for CCPT III… represents a strength-for-strength merger of complimentary portfolios that would provide CCPT III stockholders with certainty of value while benefiting both CCPT III and ARCP stockholders through the creation of the largest, highest quality publicly traded REIT in the net lease sector.” The proposal includes the purchase of 100% of CCPT III’s outstanding common stock for at least $5.7 billion, or not less than $12 per share.