NEW YORK, June 17, 2021 /PRNewswire/ -- W. P. Carey Inc.
(NYSE: WPC), a leading net lease REIT specializing in corporate
sale-leasebacks, build-to-suits and the acquisition of
single-tenant net lease properties, today announced three
industrial investments totaling $137
million and covering approximately two million square feet.
The investments comprise five operationally-critical properties net
leased to industry-leading tenants, bringing investment volume
year-to-date to approximately $900
million with a weighted-average lease term of approximately
22 years.
The investments include:
- $49 million
sale-leaseback of a 703,000-square-foot Class-A logistics
facility in Alabama, net leased to
JOANN, the U.S. category leader for sewing and fabrics, and one of
the fastest growing competitors in the arts and crafts industry.
Established in 1943, JOANN has built a large omni-channel platform
with retail stores in 49 states in addition to a robust e-commerce
business, which has contributed to significant sales growth,
supported by a growing customer base and consistent demand from
existing customers. The fungible, cross-docked facility features up
to 40-foot clear heights and is strategically located along I-85
with easy access to both Atlanta
and Montgomery, on a site that
allows for future expansion. Built in 2005, it supplies more than
one-third of its nearly 900 retail locations nationwide. JOANN has
made substantial investments in equipment for the facility,
underscoring its criticality. It is triple-net leased for a period
of 20 years, with fixed annual rent escalations.
- $45 million
sale-leaseback of a 779,000-square-foot
recently-constructed distribution facility in New York, net leased to Orgill, the world's
largest independent hardware distributor and an existing tenant of
W. P. Carey. The facility serves as Orgill's primary distribution
center for the Northeast and was constructed to meet growing sales
and to provide faster, more efficient service throughout the
region. It is located along the NY-49 highway in proximity to I-90
and contains significant equipment owned by Orgill, including
extensive racking systems with automated sorting capabilities.
Since becoming a tenant in 2018, W. P. Carey has partnered with
Orgill on four acquisitions and two property expansions and now
owns four of Orgill's seven U.S. distribution centers. The facility
is triple-net leased for a period of 26 years with fixed rent
escalations.
- $43 million
sale-leaseback of a three-property logistics portfolio
totaling 497,000 square feet, net leased to a North American
manufacturer of products for home living, industrial and
recreational uses. The company has robust supply chain capabilities
with a diverse, vertically integrated supplier network,
long-standing relationships with big-box retailers and an
infrastructure support system that provides e-commerce services.
The fungible properties comprise the company's primary distribution
centers, including a portion that houses its headquarters, and are
well-located in the core logistics markets of Chicago and Toronto. Two of the facilities are in close
proximity to the O'Hare International Airport—in the O'Hare and
North Cook County submarkets,
which rank among the strongest industrial submarkets in the
U.S.—while the third is located in an industrial suburb of
Toronto with easy access to the
CBD, as well as major roadways, airports, railways and shipping
ports. The portfolio is triple-net leased on two USD-denominated master leases by country for
a period of 15 years, with fixed annual rent escalations.
Gino Sabatini, Head of
Investments, W. P. Carey said: "These industrial
investments demonstrate our ability to differentiate ourselves in
the market as a trusted and reliable capital partner with the
experience needed to efficiently execute on high-quality deals. We
are excited to have worked with both new and existing tenants on
these sale-leasebacks, enabling them to convert their real estate
into working capital to help them achieve their business
objectives."
W. P. Carey Inc.
W. P. Carey ranks among the largest net lease REITs with an
enterprise value of approximately $19
billion and a diversified portfolio of
operationally-critical commercial real estate that includes 1,261
net lease properties covering approximately 146 million square feet
as of March 31, 2021. For nearly five decades, the company has
invested in high-quality single-tenant industrial, warehouse,
office, retail and self-storage properties subject to long-term net
leases with built-in rent escalators. Its portfolio is located
primarily in the U.S. and Northern and Western Europe and is well-diversified by
tenant, property type, geographic location and tenant
industry.
www.wpcarey.com
This press release may contain forward-looking statements
within the meaning of U.S. Federal securities laws, including the
comments of Mr. Sabatini. A number of factors could
cause W. P. Carey's actual results, performance or achievement to
differ materially from those anticipated. Among those risks, trends
and uncertainties are the general economic climate, including the
continuing impact of the COVID-19 pandemic; the supply of and
demand for commercial properties; interest rate levels; and other
risks associated with the acquisition and ownership of properties,
including risks that the tenants will not pay rent, or that costs
may be greater than anticipated. For further information on factors
that could impact W. P. Carey, reference is made to its filings
with the U.S. Securities and Exchange Commission.
W. P. Carey Inc. Contacts:
Press Contact:
Anna
McGrath
+1 212-492-1166
amcgrath@wpcarey.com
Institutional Investors:
Peter
Sands
+1 212-492-1110
institutionalir@wpcarey.com
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SOURCE W. P. Carey Inc.