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Press Release

W. P. Carey Announces $34 Million Acquisition of Class A Office Building by CPA:17 - Global

Purchase of corporate headquarters property in strong Minneapolis submarket adds high quality asset to portfolio

Company Release - 12/11/2014 4:05 PM ET

NEW YORK, Dec. 11, 2014 /PRNewswire/ -- W. P. Carey Inc. (NYSE: WPC), a global net-lease real estate investment trust (REIT) specializing in corporate sale-leaseback financingbuild-to-suit financing and the acquisition of single-tenant net-lease properties, announced today that CPA®:17 – Global, one of its managed non-traded REITs, has acquired a 182,000 square-foot Class A office building for approximately $34 million.  The facility is located in Plymouth, Minnesota and will be leased to Smiths Medical commencing in February 2015. 

W. P. Carey announces the acquisition of a 182,000 square-foot Class A office building by CPA:17 - Global for approximately $34 million. The facility is located in Plymouth, Minnesota and will be leased to Smiths Medical commencing in February 2015.

Key Facts

  • Solid tenant: Smiths Medical is a leading supplier of specialist medical devices, consumables and equipment for global markets and is one of the five divisions that form Smiths Group plc, a multinational diversified engineering company. Smiths Medical has operations in over 30 countries and sells in approximately 120 markets around the world.
  • Critical facility: Smiths Medical has selected this building as its future headquarters as part of a broader initiative to improve productivity and collaboration and reduce costs. Smiths Medical has entered into a long-term lease and will begin occupying the building in February 2015.
  • Attractive, well-located real estate: The facility was constructed in 1999 as part of a mixed-use development comprised of retail, residential and restaurant space. It features modern infrastructure, large lobbies and common areas and high-quality construction. Located in the Twin Cities' strong west/northwest commercial corridor, the facility has excellent access to highways.

Management Commentary

W. P. Carey Managing Director and Co-Head of Global Investments, Gino Sabatini, stated: "Working with both an institutional seller and a local developer, Interstate Partners, we were able to structure the acquisition of a long-term income-generating asset that will be accretive to CPA®:17 – Global's portfolio."

Commenting on the submarket, Mr. Sabatini noted: "Having recently acquired an asset in the submarket on behalf of another of our managed REITs, we are pleased to add this asset to CPA®:17 – Global's portfolio.  Plymouth, which is recognized as the healthiest submarket in the Twin Cities, is an area comprised of 25.5 million square feet of office space with a reported 7.2% vacancy rate.  Additionally, Plymouth is home to many large corporations in the Minneapolis/St. Paul metropolitan area and is among the ten largest communities in Minnesota."

W. P. Carey Inc.

Please visit www.wpcarey.mediaroom.com for more information about W. P. Carey, to access our image and video libraries and to follow us on social media.

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 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.

Company contact:
Kristina McMenamin
W. P. Carey Inc.
212-492-8995
kmcmenamin@wpcarey.com

Press contact:
Guy Lawrence
Ross & Lawrence
212-308-3333
gblawrence@rosslawpr.com

 

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To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/w-p-carey-announces-34-million-acquisition-of-class-a-office-building-by-cpa17---global-300008763.html

SOURCE W. P. Carey Inc.

 

Investor Contacts

Institutional Investors

Peter Sands
Director of Institutional IR
W. P. Carey Inc.
1 (212) 492-1110
Email

Individual Investors

Investor Relations Department
1 (800) WP CAREY (972-2739)
Email

Transfer Agent

Computershare
W. P. Carey Inc.
Shareowner Services
PO Box 505000
Louisville, KY 40233-5000
1 (888) 200-8690