DENVER, Dec. 2, 2010 /PRNewswire-FirstCall/ -- DCT Industrial Trust Inc. (NYSE: DCT), a leading industrial real estate company, today announced it has completed three acquisitions totaling 332,900 square feet for $20.2 million located in the Seattle, Chicago and Houston markets.
In Seattle, DCT Industrial acquired a 196,525 square foot bulk distribution building located in the Sumner submarket for $13.2 million. The building, constructed in 2006, is state-of-the-art with 30-foot clear height and ESFR sprinklers and is fully leased through 2020. The purchase price was $67.42 per square foot, or approximately 10% below replacement cost and is expected to generate a year-one, cash yield of 7.1%. This acquisition brings DCT Industrial's Seattle portfolio to 1.3 million square feet and 97% occupied.
The Chicago acquisition totals 84,730 square feet and is ideally located adjacent to Interstate 90 and the new O'Hare Airport north cargo entrance. The building is fully leased to a single tenant in the packaging industry. The purchase price of $4.3 million, or $50.75 per square foot, is approximately 35% to 40% below replacement cost and is projected to generate a cash yield of 8.0% in the first year. The acquisition brings DCT Industrial's Chicago portfolio to nearly 3.5 million square feet and 85% occupied.
Additionally, DCT Industrial has acquired a 51,632 square foot distribution facility in Houston. The building is 100% leased to a single tenant which is a global leader in international forwarding and logistics. The facility is located near the George Bush Intercontinental Airport and brings DCT Industrial's Houston portfolio to nearly 3.0 million square feet and 90% occupied. The purchase price of $2.7 million, or $51.30 per square foot, is 25% to 30% below replacement cost and is projected to generate a cash yield of 9.5% in the first year.
"I am very pleased with our continued success in sourcing high-quality, well-located assets that will generate attractive current returns as well as opportunities for growing cash flow and creating additional value," said Phil Hawkins, President and CEO of DCT Industrial. "Year to date, we have acquired $48.1 million or 873,200 square feet located in coastal or high-barrier markets, consistent with our strategy of increasing our exposure to these markets over time. Our team has done a remarkable job of identifying and executing these deals to help drive long-term growth and value for the company."
About DCT Industrial Trust®
DCT Industrial Trust is a leading industrial real estate company that owns, operates and develops high-quality bulk distribution and light industrial properties in high-volume distribution markets in the U.S. and Mexico. The Company owns, manages or has under development 75.8 million square feet of assets leased to more than 820 customers, including 14.6 million square feet managed on behalf of three institutional joint ventures. Additional information is available at www.dctindustrial.com.
SOURCE DCT Industrial Trust Inc.