Arch Street Capital Acquires Government Leased Asset on Behalf of Client
GREENWICH, Conn., Jan. 25, 2011 /PRNewswire/ -- Arch Street Capital Advisors, L.L.C. announced today that it has acquired, on behalf of a client, a state of the art health care real estate asset in the United States, leased long-term to the U.S. government. The newly constructed asset has been leased by the U.S. government for a 20 year term, with no cancellation options. Additionally, the lease provides for fixed rental rate increases every 5 years throughout the term.
Commenting on the acquisition, Fahed Boodai, Chairman of Global Securities House, stated "We have not made a new investment in the U.S. real estate market since 2007. We have been carefully analyzing the markets and searching for the right opportunity to take advantage of the favorable pricing dynamics that have resulted from the ongoing credit crisis. Because our team was able to source this acquisition directly, rather than through an auction process, and commit to this acquisition on an all cash basis, prior to the completion of construction, we are acquiring the asset upon very favorable terms. We believe that this long term U.S. government lease with an attractive current return provides exactly the right combination of safety and profitability that our clients require in their return to the U.S. commercial real estate market. We very much appreciate the outstanding work of Arch Street Capital Advisors in sourcing and successfully completing this acquisition."
Based in Greenwich, CT, Arch Street Capital Advisors is a full-service real estate investment advisory firm. Arch Street specializes in assisting international investors with their U.S. real estate strategies including acquisition and joint venture advisory, financing advisory and asset management and disposition services. Since its formation in 2003, Arch Street has advised clients on more than $2 billion of acquisitions, dispositions and financings. Currently, Arch Street manages a diverse portfolio of investments on behalf of clients in the industrial, office, multifamily, healthcare and mixed-use development sectors of the U.S. real estate market.
SOURCE Arch Street Capital Advisors, L.L.C.
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