Inland, ARC Forge $2.3B Net lease Deal

NEW YORK CITY-AR Capital LLC, the sponsor of several net lease REITs, and Inland American Real Estate Trust have entered a purchase and sale agreement worth approximately $2.3 billion and involving 294 retail, office and industrial assets. It includes the assumption of about $795.3 million in debt and Inland’s repayment of $360.9 million in debt. The largest piece of the deal is a 247-asset, 10-million square foot portfolio that’s being acquired by American Realty Capital Trust V for $1.448 billion, including the assumption of $488 million of debt.

In an SEC filing, ARCT V says the portfolio is 100% leased to nine tenants, with the leases having a weighted average remaining lease term of 11.7 years. Largest of the tenants by number of locations is Suntrust Bank, with 215 branches, while the largest by square footage is Americold with approximately 1.9 million square feet of cold storage warehouse space across 11 locations. Other major tenants in the portfolio being acquired by ARCT V include Sanofi SA, C&S Wholesale Grocers, Ahold, American Express Travel and Home Depot.