NEW YORK, Aug. 27, 2014 /PRNewswire/ -- W. P. Carey Inc. (NYSE: WPC), a global net-lease REIT specializing in corporate sale-leaseback financing, build-to-suit construction financing and the acquisition of single-tenant net-lease properties, announced today that it has acquired a 250,813 square-foot office facility for a total acquisition price of approximately $47 million. The facility is located in Westborough Technology Park outside of Boston and is leased to Bose Corporation (Bose) for a period of 11 years. The seller was Columbia Property Trust.
- High quality tenant: Bose is a worldwide leader in audio systems for the home, on-the-go, automobiles and public spaces.
- Core Massachusetts facility: Located approximately eight miles away from the Bose headquarters in Framingham, the facility houses the company's sales operations. Over the last 18 months, Bose has invested in the facility to construct a state-of-the-art film production space and sound studio used for Bose's commercial marketing efforts.
- Well-located, easily accessible asset: The building is a Class A/B office building located in Westborough Technology Park. Strategically located in the northwest quadrant of the U.S. I-495/Route 9 interchange, the building provides excellent access to both Boston and Northeastern and Southeastern Massachusetts.
W. P. Carey Managing Director and Co-Head of Global Investments Gino Sabatini: "The Bose building is a well-located real estate asset leased to a quality tenant; the 11-year lease and recent investment by Bose affirms their commitment to the facility. The transaction also demonstrates W. P. Carey's ability to work with a variety of sellers. Because of our long term income and cash flow focused strategy, we are an attractive source of liquidity to owners, developers and investors with shorter term investment horizons, providing them with timely access to capital for execution of their reinvestment strategies."
Commenting on the Boston submarket where the facility is located, Mr. Sabatini added: "As core Boston submarkets have become saturated, tenants have begun to push further out into suburban Route 128 and 495 locations, searching for higher quality real estate with lower rents and good accessibility. The 495 West/Mass Pike West submarket has demonstrated an increasing level of stability in recent years, along with declining vacancy. Additionally, the submarket is home to a very large base of high-technology space and financial firms, including BNY Mellon Wealth Management, Integrated Genetics, PF PC, Inc., Amica Mutual Insurance, Astra Zeneca and E Clinical Works."
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. Sabatini are examples of forward looking statements. A number of factors could cause W. P. Carey'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 W. P. Carey, reference is made to its filings with the Securities and Exchange Commission.
W. P. Carey Inc.
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SOURCE W. P. Carey Inc.