CapLease to Acquire Class A Office Building for $35.5 Million
2012 Acquisition Volume Grows to Over $140 Million
NEW YORK -- November 26, 2012
CapLease, Inc. (NYSE: LSE) announced today that it has entered into a
contract to acquire a Class A office building in a major Southern city for a
purchase price of $35.5 million, with closing scheduled before year-end. The
average capitalization rate for the transaction is in excess of 8%.
Paul McDowell, Chairman and Chief Executive Officer, stated, “The addition of
this property will be accretive to earnings and cash flow, and will lengthen
the average remaining lease term across the owned property portfolio. The
acquisition continues our strong growth momentum, bringing total expected
acquisition volume for 2012 to over $140 million. We expect to finance our
investment with a 55% loan-to-cost non-recourse mortgage of the property and
given the continued favorable financing environment for high quality
properties like this one, we expect the asset to produce among the widest
spreads in the entire portfolio. Our pipeline remains robust with numerous
transactions at various stages of review. We look forward to continuing to add
accretive, high quality properties for the remainder of 2012 and beyond.”
CapLease expects to close and finance the acquisition described in this press
release prior to December 31, 2012. However, closing is subject to completion
of due diligence and customary closing conditions and, therefore, no assurance
can be given that CapLease will complete the acquisition or related financing,
or that the timing or terms of such transactions will not differ materially
from CapLease’s expectations.
About the Company:
CapLease, Inc. is a real estate investment trust, or REIT, that primarily owns
and manages single tenant commercial real estate properties subject to
long-term leases to high credit quality tenants.
Investor Relations/Media Contact:
Brad Cohen, 212-217-6393
Press spacebar to pause and continue. Press esc to stop.