American Assets Trust, Inc. Enters into Agreement to Acquire Eastgate Office Park in Bellevue, Washington
May 24 2021 - 4:15PM
American Assets Trust, Inc. (NYSE: AAT) (the “Company”) has entered
into an agreement to acquire Eastgate Office Park, consisting of an
approximately 280,000 square foot, multi-tenant office campus in
the premier I-90 corridor submarket of Bellevue, Washington.
Eastgate Office Park is currently greater than
95% leased to a diversified tenant base with a weighted average
lease term of approximately 3 years with contractual lease rates
that the Company views as below prevailing market rates for the
submarket. Additionally, Eastgate Office Park recently obtained
municipal approval for rezoning, increasing the floor area ratio
from 0.5 to 1.0, which will allow for significant additional
development opportunities.
The four-building property features unrivaled
on-site amenities with a diverse rent roll of technology and
professional services companies and features a campus-setting in a
natural landscape with walking trails and immediate access to
I-90.
The purchase price of $125 million is expected
to be paid with cash on hand.
The acquisition is subject to customary closing
conditions. The Company can offer no assurances that this
acquisition will close on the terms described herein, or at
all.
About American Assets Trust,
Inc.
American Assets Trust, Inc. is a full service,
vertically integrated and self-administered real estate investment
trust, or REIT, headquartered in San Diego, California. The company
has over 50 years of experience in acquiring, improving,
developing and managing premier office, retail, and residential
properties throughout the United States in some of the
nation’s most dynamic, high-barrier-to-entry markets primarily
in Southern California, Northern California,
Oregon, Washington, Texas and Hawaii. The company's
office portfolio comprises approximately 3.4 million rentable
square feet, and its retail portfolio comprises approximately 3.1
million square feet. In addition, the company owns one mixed-use
property (including approximately 97,000 rentable square feet of
retail space and a 369-room all-suite hotel) and 2,112 multifamily
units. In 2011, the company was formed to succeed to the real
estate business of American Assets, Inc., a privately held
corporation founded in 1967 and, as such, has significant
experience, long-standing relationships and extensive knowledge of
its core markets, submarkets and asset classes. For additional
information, please visit www.americanassetstrust.com.
Forward Looking Statements
This press release may contain forward-looking
statements within the meaning of the federal securities laws, which
are based on current expectations, forecasts and assumptions that
involve risks and uncertainties that could cause actual outcomes
and results to differ materially, including, among others, risks
and uncertainties associated with the satisfaction of closing
conditions related to the Company’s pending acquisition of Eastgate
Office Park. Forward-looking statements relate to expectations,
beliefs, projections, future plans and strategies, anticipated
events or trends and similar expressions concerning matters that
are not historical facts. In some cases, you can identify
forward-looking statements by the use of forward-looking
terminology such as “may,” “will,” “should,” “expects,” “intends,”
“plans,” “anticipates,” “believes,” “estimates,” “predicts,” or
“potential” or the negative of these words and phrases or similar
words or phrases which are predictions of or indicate future events
or trends and which do not relate solely to historical matters.
While forward-looking statements reflect the company's good faith
beliefs, assumptions and expectations, they are not guarantees of
future performance. Currently, one of the most significant risk
factors, is the potential adverse effect of the current COVID-19
pandemic on the financial condition, results of operations, cash
flows and performance of the company, its tenants and guests, the
real estate market and the global economy and financial markets.
The extent to which COVID-19 impacts the company, its tenants and
guests will depend on future developments, which are highly
uncertain and cannot be predicted with confidence, including the
scope, severity and duration of the pandemic, the actions taken to
contain the pandemic or mitigate its impact, and the direct and
indirect economic effects of the pandemic and containment measures,
among others. For a further discussion of these and other factors
that could cause the company's future results to differ materially
from any forward-looking statements, see the section entitled “Risk
Factors” in the company's most recent annual report on Form 10-K,
and other risks described in documents subsequently filed by the
company from time to time with the Securities and Exchange
Commission. The company disclaims any obligation to publicly update
or revise any forward-looking statement to reflect changes in
underlying assumptions or factors, of new information, data or
methods, future events or other changes.
Source: American Assets Trust,
Inc.
Investor and Media Contact:
American Assets Trust
Robert F. Barton Executive Vice President and
Chief Financial Officer 858-350-2607
American Assets (NYSE:AAT)
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