Inland Diversified Real Estate Trust, Inc. Announces Definitive Agreement to
Sell $503 million of Single Tenant, Net-Leased Properties
-Portfolio sale of 84 single tenant properties for approximately $503 million,
which will generate proceeds of approximately $223 million net of debt and
-With this profitable transaction, Inland Diversified is now positioned as a
focused multi-tenant retail REIT as it progresses toward the final stage of a
OAK BROOK, Ill. -- December 17, 2013
Inland Diversified Real Estate Trust, Inc. (“Inland Diversified”) announced
today that it has entered into definitive sale agreements with Realty Income
Corporation (NYSE: “O”) to sell 84 single tenant, net-leased properties for
approximately $503 million, or approximately $223 million net of debt and
“This exciting transaction positions Inland Diversified's national portfolio
of quality multi-tenant retail assets for the final stage of its liquidity
event, which a special committee of independent directors continues to
pursue,” said Barry Lazarus, president and chief operating officer of Inland
Diversified. Mr. Lazarus added, “This sale is an important first step in our
overall strategy designed to maximize the value of this portfolio on behalf of
The expected proceeds from these transactions, when combined with cumulative
monthly distributions, represent a return to investors of approximately 40
percent, assuming a purchase of shares of Inland Diversified in September
2009. This return is based on the proportion that the equity invested in the
assets sold bears to the total equity invested in Inland Diversified.
The transaction is expected to close in several tranches during the first
quarter 2014, with the first closing expected in January 2014. Each closing is
subject to customary approvals and the completion of certain closing
conditions, and it is possible that the timing of the closings may be delayed.
Inland Diversified presently intends to make distributions to its stockholders
of the net proceeds following each of the closings.
Eastdil Secured/Wells Fargo Securities is acting as financial advisor and
Alston & Bird LLP serves as legal counsel to the Special Committee of
Independent Directors of Inland Diversified.
About Inland Diversified Real Estate Trust, Inc.
Inland Diversified Real Estate Trust, Inc. is a public, non-listed real estate
investment trust focused on acquiring a diversified portfolio of commercial
real estate assets in various property categories, including: grocery-anchored
shopping centers, necessity-based retail assets, single tenant office and
multi-family assets. As of September 30, 2013, the company owned approximately
12.4 million square feet of commercial real estate, as well as 444
multi-family units, in 31 states, with a portfolio of approximately $2.4
billion in assets. For additional information, please refer to
Forward Looking Statements
This press release contains “forward-looking statements” made under the “safe
harbor” provisions of the Private Securities Litigation Reform Act of 1995.
The statements may be identified by terminology such as “may,” “would,”
“expect,” “intend,” “estimate,” “anticipate,” “plan,” “seek,” “appears,” or
“believe.” Such statements reflect the current view of the Company with
respect to future events and are subject to certain risks, uncertainties and
assumptions related to certain factors including, without limitation, the
uncertainties that may affect the ability of the parties to satisfy conditions
to closing, the amount of net proceeds available for distribution to
stockholders, general economic conditions, unforeseen events affecting the
real estate industry or particular markets, and other factors detailed under
“Risk Factors” in the Company’s most recent Form 10-K and subsequent Form
10-Qs on file with Securities and Exchange Commission.
Although the Company believes that the expectations reflected in such
forward-looking statements are reasonable, it can give no assurance that such
expectations will prove to be correct. Based upon changing conditions, should
any one or more of these risks or uncertainties materialize, or should any
underlying assumptions prove incorrect, actual results may vary materially
from those described herein. Except as required by federal securities laws,
the Company undertakes no obligation to publicly update or revise any written
or oral forward-looking statements, whether as a result of new information,
future events, changed circumstances or any other reason after the date of
this press release. All subsequent written and oral forward-looking statements
attributable to the Company or persons acting on its behalf are expressly
qualified in their entirety by the applicable cautionary statements.
For Additional Information
Additional details about the transaction can be found in our Current Report on
Form 8-K with the Securities and Exchange Commission. Copies can be obtained
from the SEC website at www.sec.gov, or on Inland Diversified’s website at
www.inlanddiversified.com. Inland Diversified stockholders may contact Inland
Investor Services for additional information by calling 1-800-826-8228 or
emailing to Custserve@inland-investements.com.
Inland Marketing & Communications, Inc.
Nicole Spreck, 630-586-4896
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