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Kilroy Realty Corporation Continues Seattle Area Expansion with Acquisitions …

Tue, 05 Jun 2012 00:17:47 +0000

LOS ANGELES, Jun 04, 2012 (BUSINESS WIRE) –
Kilroy Realty Corporation

/quotes/zigman/171049/quotes/nls/krc KRC
-0.09%

today announced that it has
completed the purchase of two office properties in the Lake Union
submarket of Seattle and expects to complete the acquisition of a
Bellevue property in the third quarter, subject to customary closing
conditions. These acquisitions will nearly double the West Coast real
estate investment trust’s office portfolio in high growth submarkets of
the Puget Sound Region.

In three separate transactions, KRC has acquired or expects to acquire
properties in Lake Union and Bellevue aggregating approximately 837,000
square feet of space for a total purchase price of approximately $330
million.

Since its reentry into the Seattle market in 2010, including these
transactions, KRC will acquire approximately 1.7 million square feet of
premier office space in the Puget Sound Region and has established a
locally-based operating platform with seasoned management to expand and
manage its portfolio there. The company’s Seattle portfolio, located in
the Eastside markets of Bellevue, Kirkland and Redmond as well as the
Lake Union submarket, now represent approximately 10% of KRC’s portfolio
on a square-foot basis and account for approximately 13% of its annual
net operating income on a pro forma basis.

“Seattle’s Bellevue, Eastside and Lake Union submarkets present a
compelling set of characteristics that KRC looks for in its real estate
portfolio,” said John Kilroy, Jr., the company’s president and chief
executive officer. “These include an economically vibrant core, a unique
coastal location, a quality of life valued by fast-growing,
knowledge-based businesses and their employees, and a regional approach
to development that effectively limits supply.”

“With a knowledgeable and experienced management team now in place,”
said Kilroy, “Seattle will continue to play an important role in the
expansion of our West Coast real estate franchise and the growth of our
brand as the region’s most innovative landlord.”

Lake Union Acquisitions

In two separate transactions, KRC acquired a three-building, 420,000
square-foot office campus located at 701, 801, 837 N. 34th Street in
Seattle’s Fremont neighborhood of Lake Union for approximately $145
million. Lake Union, home to Amazon.com’s two million square-foot
headquarters, is a magnet for Seattle’s high-growth, high-tech industry
and KRC’s newly acquired campus is well positioned in the submarket on
the Lake Union waterfront and immediately adjacent to the Burke Gilman
Trail, Seattle’s most popular running and biking trail.

Known as Fremont Lake Union Center and Fremont Lake View, the
three-building campus is currently 100% leased to a tenant list that
includes Adobe, Inc., Tableau Software and Ubermind, a Deloitte software
company. KRC purchased the properties at a significant discount to
replacement cost and expects to capture significant value as this
submarket continues to lead the region in growth and tenant demand with
in-place rents well below market. The campus is subject to a long term
ground lease and the company will be assuming approximately $34 million
of debt as part of the acquisition.

Bellevue Acquisition

KRC is also in escrow to acquire Skyline Tower, a 417,000 square-foot,
24-story, Class A office building in Downtown Bellevue for approximately
$186 million. The LEED Silver certified property is located at 10900
Northeast Fourth Street, two blocks from the company’s Key Center office
building and one block north of the Bellevue Transit Center. The
building, which has spectacular views of the Cascade Mountains and Mount
Rainier, is in close proximity to The Bravern and Bellevue Square, two
of the area’s most prestigious residential and retail centers.

Skyline Tower is currently 92% leased to a diverse tenant base that
includes technology companies Expedia and Valve Corporation. The company
will assume an in-place loan of approximately $84 million as part of the
acquisition.

“With the purchase of Skyline Tower, KRC will own two of the top Class A
multi-tenant office buildings in Downtown Bellevue,” said Mike Shields,
senior vice president of KRC’s Pacific Northwest region. “We expect
Downtown Bellevue to continue to be a location of choice for both
technology and service companies that value high quality amenities,
proximity to mass transit, and commuter convenience.”

This press release contains forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933, as amended, and
Section 21E of the Securities Exchange Act of 1934, as amended.
Forward-looking statements are based on our current expectations,
beliefs and assumptions, and are not guarantees of future performance,
results or events. Forward-looking statements are inherently subject to
uncertainties, risks, changes in circumstances, trends and factors that
are difficult to predict, many of which are outside of our control.
Accordingly, actual performance, results and events may vary materially
from those indicated in forward-looking statements, and you should not
rely on forward-looking statements as predictions of future performance,
results or events. Numerous factors could cause actual future
performance, results and events to differ materially from those
indicated in forward-looking statements, including, among others: risks
associated with investment in real estate assets, which are illiquid,
and with trends in the real estate industry; competitive market
conditions; the ability to complete potential acquisitions and
dispositions on announced terms; the ability to successfully operate
acquired properties; the availability of cash for debt service and
exposure of risk of default under debt obligations; and the ability to
successfully complete development and redevelopment projects on schedule
and within budgeted amounts. These factors are not exhaustive. For a
discussion of additional risk factors that could adversely affect our
business and financial performance, see the factors included under the
caption “Risk Factors” in our annual report on Form 10-K for the year
ended December 31, 2011, quarterly report on Form 10-Q for the quarter
ended March 31, 2012, and our other filings with the Securities and
Exchange Commission. All forward-looking statements are based on
currently available information and speak only as of the date on which
they are made. We assumes no obligation to update any forward-looking
statement made in this press release that becomes untrue because of
subsequent events, new information or otherwise, except to the extent it
is required to do so in connection with ongoing requirements under
Federal securities laws.

Kilroy Realty Corporation, a member of the SP Small Cap 600 Index, is a
real estate investment trust active in premier office and industrial
submarkets along the West Coast. For over 60 years, the company has
owned, developed, acquired and managed real estate assets, consisting
primarily of Class A real estate properties in the coastal regions of
Los Angeles, Orange County, San Diego, greater Seattle and the San
Francisco Bay Area. At March 31, 2012, the company owned 11.8 million
rentable square feet of commercial office space and 3.4 million rentable
square feet of industrial space. More information is available at
http://www.kilroyrealty.com .

SOURCE: Kilroy Realty Corporation


        Kilroy Realty Corporation
        Tyler H. Rose
        Executive Vice President
        and Chief Financial Officer
        (310) 481-8484
        or
        Michelle Ngo
        Vice President
        and Treasurer
        (310) 481-8581

/quotes/zigman/171049/quotes/nls/krc

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KRC

Article source: http://www.marketwatch.com/story/kilroy-realty-corporation-continues-seattle-area-expansion-with-acquisitions-in-lake-union-and-bellevue-2012-06-04

Investcorp Acquires Mixed-Use Portfolio for $65M – Daily News Article

Thu, 15 Mar 2012 15:52:18 +0000

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Investcorp managing director Herb Myers
calls the acquisition ?a unique opportunity to
generate solid income returns while also
advancing leasing and operating income
over a longer time horizon.?

SAN FRANCISCO-The US-based real estate arm of Investcorp, a multinational provider and manager of alternative investment products, has paid $65 million for a portfolio of mixed-use commercial real estate properties in the Northern San Francisco Bay area—an area consistently ranked by institutional real estate investors as one of the top areas for investment within the US. The deal represents the largest transaction closed in the North Bay area so far this year and, according to the company, and demonstrates the firm’s continued selectivity and focus on high-yielding assets.

The predominantly class-A portfolio comprises 14 buildings, including a mix of office, industrial and retail properties concentrated in Petaluma and totaling 840,637 square feet, with properties currently occupied by a diverse group of tenants. In acquiring the portfolio, Investcorp ventured with PBJ Acquisitions, a San Francisco-based real estate owner and operator. Together, the companies will seek to increase the net operating income of the properties by leasing the currently vacant space and by renewing existing tenants.

“This acquisition of a diverse group of class-A properties presents a unique opportunity to generate solid income returns while also advancing leasing and operating income over a longer time horizon,” says Herb Myers, a managing director in Investcorp’s real estate team. “The multi-assets nature of this portfolio should also enable us to pursue, opportunistically, a number of value-creating options.” Myers could not be reached by GlobeSt.com before deadline to elaborate on the options mentioned, the seller, financing details of the purchase, the age of the properties involved or the company’s long-term plans for the portfolio.

The location of this investment builds on an established Investcorp focus on properties in close proximity to major US markets, but in submarkets where secure investments at attractive valuations are easier to find. In line with this strategy, Investcorp closed two Greater-L.A.-area transactions in 2011: the Park Tower office complex in Long Beach and the Residence Inn Manhattan Beach. These were complemented by additional transactions in Princeton, NJ, and in the corridor between West Palm Beach and Ft. Lauderdale, FL.

Categories:

West,
Industrial,
Office,
Retail,
Acquisitions/Dispositions,
San Francisco

Carrie Rossenfeld Carrie Rossenfeld is a reporter for the West Coast region of GlobeSt.com and Real Estate Forum. She was a trade-magazine and newsletter editor in New York City for 11 years before moving to Southern California in 1997 to become a freelance writer and editor for magazines, books and websites. Rossenfeld has written extensively on topics ranging from intellectual-property licensing and giftware to commercial real estate. She recently edited a book about profiting from distressed real estate in a down market and has ghostwritten a book about starting a home-based business.

Article source: http://www.globest.com/news/12_307/sanfrancisco/acquisitions_dispositions/Investcorp-Acquires-Mixed-Use-Portfolio-for-65M-319616.html

Investcorp acquires $65m US properties

Tue, 13 Mar 2012 09:40:52 +0000

Investcorp acquires $65m US properties

Manama:

Bahrain-based Investcorp, a leading provider and manager of alternative investment products, has acquired a portfolio of mixed-use commercial real estate properties in the Northern San Francisco Bay Area in the US.

In the largest transaction closed in the North Bay area so far this year, Investcorp’s US-based real estate arm acquired the properties for approximately $65 million, said a statement.

The predominately Class A portfolio comprises 14 buildings, including a mix of office, industrial, and retail properties concentrated in Petaluma, also known as Telecom Valley, totaling 840,637 sq ft.

In acquiring the portfolio, Investcorp ventured with PBJ Acquisitions, a San Francisco-based real estate owner and operator. Together Investcorp and PBJ will seek to increase the net operating income of the properties by leasing the currently vacant space and by renewing existing tenants.

Mohammed Al Shroogi, Investcorp’s president for Gulf Business, said: “Investcorp Real Estate has over 16 years of experience and has completed transactions totaling over $10 billion. In the last 12 months alone, Investcorp has deployed more than $200 million of capital in US real estate including two other acquisitions in the greater Los Angeles area.” – TradeArabia News Service

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Terreno Realty Corporation Acquires Building in Elizabeth for $10.4 Million

Mon, 10 Oct 2011 22:47:47 +0000

SAN FRANCISCO, Oct 10, 2011 (BUSINESS WIRE) –
Terreno Realty Corporation

/quotes/zigman/580648/quotes/nls/trno TRNO
+2.64%

acquired an industrial
property located in Elizabeth, New Jersey on October 7, 2011 for a
purchase price of approximately $10.4 million.

The property consists of one multi-tenant industrial building containing
approximately 150,000 square feet. Approximately 20% of the property was
leased back to the seller as part of the purchase and the remaining
approximately 80% was leased to a third party by Terreno after the
property was placed under contract and prior to closing. As a result,
the property is currently 100% leased to two tenants. The estimated
stabilized cap rate of the property is 7.4%.

Estimated stabilized cap rates are calculated as annualized cash basis
net operating income stabilized to market occupancy (generally 95%)
divided by total acquisition cost. Total acquisition cost includes the
initial purchase price, the effects of marking assumed debt to market,
buyer’s due diligence and closing costs, estimated near-term capital
expenditures and leasing costs necessary to achieve stabilization.

Terreno Realty Corporation is an acquirer, owner and operator of
industrial real estate located in six major coastal U.S. markets: Los
Angeles; Northern New Jersey/New York City; San Francisco Bay Area;
Seattle; Miami; and Washington, D.C./Baltimore.

Additional information about Terreno Realty Corporation is available on
the company’s web site at
www.terreno.com .

Forward-Looking Statements

This press release contains forward-looking statements within the
meaning of the federal securities laws. We caution investors that
forward-looking statements are based on management’s beliefs and on
assumptions made by, and information currently available to, management.
When used, the words “anticipate”, “believe”, “estimate”, “expect”,
“intend”, “may”, “might”, “plan”, “project”, “result”, “should”, “will”,
and similar expressions which do not relate solely to historical matters
are intended to identify forward-looking statements. These statements
are subject to risks, uncertainties, and assumptions and are not
guarantees of future performance, which may be affected by known and
unknown risks, trends, uncertainties, and factors that are beyond our
control, including risks related to our ability to meet our estimated
forecasts related to stabilized cap rates and those risk factors
contained in our Annual Report on Form 10-K for the year ended December
31, 2010 and our other public filings. Should one or more of these risks
or uncertainties materialize, or should underlying assumptions prove
incorrect, actual results may vary materially from those anticipated,
estimated, or projected. We expressly disclaim any responsibility to
update our forward-looking statements, whether as a result of new
information, future events, or otherwise.

SOURCE: Terreno Realty Corporation


        Terreno Realty Corporation
        W. Blake Baird, 415-655-4580
        Michael A. Coke, 415-655-4580

/quotes/zigman/580648/quotes/nls/trno

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TRNO

Article source: http://www.marketwatch.com/story/terreno-realty-corporation-acquires-building-in-elizabeth-for-104-million-2011-10-10

Terreno Realty Corporation Acquires Building in Savage for $7.5 Million

Mon, 27 Jun 2011 20:05:47 +0000

SAN FRANCISCO, Jun 27, 2011 (BUSINESS WIRE) –
Terreno Realty Corporation

/quotes/zigman/580648/quotes/nls/trno TRNO
+0.12%

acquired an industrial
property located in Savage, Maryland on June 24, 2011 for a purchase
price of approximately $7.5 million.

The property consists of one industrial building containing
approximately 99,000 square feet. The property is currently 100% leased
to one tenant. The estimated stabilized cap rate of the property is 7.3%.

Additional information about Terreno Realty Corporation is available on
the company’s web site at
www.terreno.com .

Forward-Looking Statements

SOURCE: Terreno Realty Corporation


        Terreno Realty Corporation
        W. Blake Baird or Michael A. Coke, 415-655-4580

/quotes/zigman/580648/quotes/nls/trno

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TRNO

Article source: http://www.marketwatch.com/story/terreno-realty-corporation-acquires-building-in-savage-for-75-million-2011-06-27?reflink=MW_news_stmp