FSP Investments, a subsidiary of the company, originally capitalized each through private placement offerings to investors. The portfolio is valued at $234.7 million. At the closing of the acquisition, which is expected to take place May 1, FSP will merge each target REIT into a single wholly owned subsidiary. A call to FSP was not returned by deadline.
According to March 16 8-K filing, the properties are identified as: 2740 W. Dallas Pkwy. in Plano, TX; a three-building complex at 5600, 5620 and 5640 Cox Rd. in Glen Allen, VA; 380 Interlocken Crescent in Broomfield, CO; 5505 Blue Lagoon Dr. in Miami and 1293 Eldridge Parkway in Houston. Franklin Street went public on the AMEX on June 2, 2005. According to an AMEX statement, FSP's banking/investment services generate brokerage commissions and other fees related to its organization of single-purpose entities that own real estate and the private placement of equity in those entities. These entities were originally partnerships, but, in 2001, the company began to organize them as corporations intended to qualify as REITs, which FSP calls sponsored, or target REITs.
Franklin Street acquired at least two of the properties prior to going public. According to GlobeSt.com research, it bought the Colorado asset for $48 million in September 2003 and the Houston asset for $35 million in February 2004.
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