NEW YORK CITY-In a quarter that saw it exit the CRE finance business, the company now trading as Gramercy Property Trust saw its net income and funds from operations rise appreciably as a result of that exit. The company on Tuesday reported net income to common stockholders of $393.4 million and FFO of $396.1 million during the first quarter. Both figures were boosted by a $389.1-million gain due to the company's exit from the financing business.
“We are pleased with the progress we are making in creating a best-in-class net lease company,” CEO Gordon DuGan says in a statement. “The first quarter results were very much in line with our expectations at the beginning of the year and we continue to find and close high-quality net lease investments.”
During Q1, GPT closed on a trio of industrial assets. The largest of these was a 605,000- square-foot building in the Memphis suburb of Olive Branch, MS, for which GPT paid $24.7 million. There were also a 342,000-square-foot manufacturing and distribution facility in Garland, TX that traded for $10.7 million, and a 101-dock door truck terminal on a 16.25-acre site in East Brunswick, NJ.
Subsequent to the March 31 conclusion of Q1, the REIT closed on the acquisition of a 178-door, 130,000-square-foot freight truck terminal in Atlanta. The all-cash deal was worth approximately $7.9 million. The property is 100% leased to a single tenant through 2020.
Click here for GlobeSt.com's interview with Gramercy's Ben Harris at the recent RealShare Net Lease conference.
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