NEW YORK, NY, January 12, 2005 - Investment firm W. P. Carey & Co. LLC (NYSE: WPC) announced today that it has acquired a $20 million interest in a first mortgage secured by the distribution facilities of Atlanta, Georgia-based BlueLinx Holdings Inc. (NYSE: BXC), the largest distributor of building products in the United States. The $20 million participation “C” represents the junior position in a $165 million five-year floating rate first mortgage loan against BlueLinx’s real estate portfolio, which consists of 61 distribution centers located throughout 36 states.
The transaction was completed on behalf of Corporate Property Associates 16 – Global Incorporated, a member of the $7 billion W. P. Carey Group of income generating, publicly held, non-traded real estate investment trusts (REITs).
Gordon F. DuGan, President of W. P. Carey, said, “This transaction is another example of our continued efforts to offer creative financing solutions to companies seeking to utilize the capital invested in their real estate. In addition to sale-leasebacks, we are pleased to announce this mortgage loan’s successful completion and look forward to similar opportunities as we continue to expand our financing capabilities to the benefit of companies and our investors alike.”
BLUELINX
BlueLinx Holdings Inc., operating through its wholly owned subsidiary BlueLinx Corporation, is one of the largest distributor of building products in the United States. Operating in all of the major metropolitan areas in the United States, BlueLinx distributes over 10,000 products to more than 11,700 customers through its network of 63 warehouses and third-party operated warehouses. www.bluelinxco.com
W. P. CAREY & CO. LLC
Founded in 1973, W. P. Carey & Co. LLC specializes in helping companies and private equity firms realize the capital tied up in their real estate assets. Whether used for debt reduction, buyouts, add-on acquisitions, recapitalizations or growth, sale-leaseback financing provides access to 100% of the real estate's value, while maintaining complete operational control. Acting as principal in transactions from $5 million to $500 million, W. P. Carey and its affiliates have committed over $2 billion in the last two years and now manage approximately $7 billion in assets. www.wpcarey.com/finance
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This press release contains forward-looking statements within the meaning of the Federal securities laws. A number of factors could cause the company’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 the company, reference is made to the company’s filings with the Securities and Exchange Commission.