Gramercy Buys $73M Industrial Portfolio

NEW YORK CITY—Gramercy Property Trust Inc. has agreed to acquire a portfolio of four industrial properties for an aggregate purchase price of approximately $73.4 million plus transaction expenses. For the combined portfolio—totaling about 1.6 million square feet—year one of net operating income is anticipated to be approximately $6.6 million (9 % initial cap rate; 8.8% annualized straight-line cap rate) with a weighted average lease term of approximately 6.7 years.

The portfolio is 100% leased and includes a 550,000 square foot class-A industrial warehouse located in Buford, GA, in the Atlanta MSA, which is 100% leased through April 2020 to a global supplier of office products; a 577,000 square foot class-A industrial warehouse located in Ames, IA, off Interstate Highway 35 that is leased to three tenants, including 300,000 square feet to a global packaging supplier; a 328,000 square foot beverage production and distribution facility located in Wilson, NC, at the intersection of Interstate-95 and US Highway 264 that is leased through May 2026 to a leading beverage producer; and a 102,000 square foot warehouse located in El Paso, Texas, that is leased through June 2018 to a logistics provider.