NEW YORK, W. P. Carey Inc. (NYSE:WPC), a leading net lease REIT specializing in corporate sale-leasebacks, build-to-suits and the acquisition of single-tenant net lease properties, today announced three recent industrial investments totaling approximately $111 million. The investments comprise operationally-critical properties triple-net leased to industry-leading tenants with a weighted-average lease term of approximately 22 years
- $30 million sale-leaseback of three industrial facilities totaling 619,000 square feet, net leased to Wendorff Bros. Co., Inc. (“Wendorff”). Wendorff manufactures, fabricates and assembles metal parts for more than 500 customers in diverse end markets. The mission-critical properties are located in Wisconsin and comprise the majority of Wendorff’s operating footprint. The portfolio is triple-net leased under a 25-year master lease with fixed annual rent escalations.
- $15 million sale-leaseback of two industrial facilities in Ontario, Canada, totaling 285,000 square feet. The facilities are net leased to Trillium Health Care Products Inc. (“Trillium”), a leading manufacturer of branded over-the-counter pharmaceutical and prescription products. The highly critical facilities, one of which includes its global headquarters, account for all of Trillium’s manufacturing, warehouse and distribution capabilities. The properties are strategically located on the U.S. / Canada border, providing immediate access to transcontinental shipping routes. The properties are leased on a triple-net basis in USD under a master lease for a period of 22 years with fixed annual rent escalations.
- W. P. Carey has also agreed to acquire a to-be-constructed, Class-A distribution facility totaling 614,000 square feet located in Tennessee for approximately $66 million. The company owns and operates dialysis facilities, outpatient cardiac and vascular labs and urgent care facilities and is a leading manufacturer and distributor of dialysis equipment and renal pharmaceuticals in North America. Construction of the facility is expected to be completed in April 2020. Upon completion in accordance with plans and specs, W. P. Carey will acquire the facility and will lease it back to the company on a triple-net lease basis for 20 years with fixed annual rent escalations.
Andrés Dallal, Executive Director of Investments, W. P. Carey, said: “Industrial continues to be one of the most sought-after sectors where we continue to successfully source deals that meet our investment criteria. Our established reputation and ability to quickly structure and close deals with multiple parties continues to position us as the preferred long-term partner for companies looking to unlock the value of their real estate. We look forward to continuing to grow our portfolio and generating shareholder value through accretive acquisitions with strong tenants and high-quality real estate.”
About W. P. Carey Inc.
W. P. Carey Inc. ranks among the largest net lease REITs with an enterprise value of approximately $20 billion and a diversified portfolio of operationally-critical commercial real estate that includes 1,198 net lease properties covering approximately 137 million square feet. For over four decades, the company has invested in high-quality single-tenant industrial, warehouse, office, retail and self-storage properties subject to long-term net leases with built-in rent escalators. Its portfolio is located primarily in the U.S. and Northern and Western Europe and is well-diversified by tenant, property type, geographic location and tenant industry.