NEW YORK, Feb. 11, 2015 /PRNewswire/ -- W. P. Carey Inc., a global net lease REIT specializing in corporate sale-leaseback financing, build-to-suit financing and the acquisition of single-tenant net lease properties, announced today the acquisition of an office and data center facility on behalf of CPA®:17 – Global, one of its managed non-traded REITs. The 120,147 square-foot facility is located in San Antonio, Texas and is leased to iHeartCommunications, Inc. for a period of 20 years. The total acquisition price was approximately $22 million.
- Market-leading tenant: iHeartCommunications, Inc., previously known as Clear Channel Communications, Inc., is a leading media company that specializes in radio, digital, outdoor, mobile, social, live events, on-demand entertainment and information services for local communities.
- Critical facility: Constructed in 2002 as a build-to-suit for Clear Channel, the facility serves as the company's primary IT and finance shared service center.
W. P. Carey Managing Director and Co-head of Global Investments, Jason Fox, commented: "Given the valuable data center space and improvements to the building, we believe that we were able to acquire the facility at below replacement cost. The terms of the triple-net lease provide for an attractive initial cap rate, as well as annual built-in rent increases. iHeartCommunications' position in the broadcast and outdoor advertising sector and the highly critical real estate make for what we believe will be a long-term, income-generating investment for CPA®:17 – Global's investors."
The St. Louis office of DTZ represented ownership in the sale.
W. P. Carey Inc.
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This press release contains forward-looking statements within the meaning of the Federal securities laws. The statements of Mr. Fox are examples of forward looking statements. A number of factors could cause CPA®:17 – Global's actual results, performance or achievement to differ materially from those anticipated. Among those risks, trends and uncertainties are the general economic climate; the supply of and demand for office and industrial properties; interest rate levels; the availability of financing; 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 CPA®:17 – Global, reference is made to CPA®:17 – Global's filings with the Securities and Exchange Commission.
W. P. Carey Inc.
Ross & Lawrence
SOURCE W. P. Carey Inc.