NEW YORK CITY—American Realty Capital Properties is eyeing an acquisition of NorthStar Realty Finance Corp., Bloomberg and the Financial Times reported Monday. Citing unnamed sources, Bloomberg reported that ARCP is contemplating an offer of about $20 per share, representing a 25% premium on NorthStar's closing price this past Friday. The deal would value Northstar at about $6.5 billion.
ARCP, the largest net lease REIT, would boost its nontraded REIT fundraising and management business with a NorthStar acquisition. Previously, NorthStar announced plans in December to spin off its asset management business into a new, publicly traded company.
Both Bloomberg and the Financial Times reported that the talks are ongoing and there's no guarantee that a deal will be reached. Further, the offer price could change as negotiations continue. Spokesmen for both ARCP and NorthStar did not respond to GlobeSt.com's requests for comment by early Monday afternoon.
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Paul Bubny
Paul Bubny is managing editor of Real Estate Forum and GlobeSt.com. He has been reporting on business since 1988 and on commercial real estate since 2007. He is based at ALM Real Estate Media Group's offices in New York City.
