Lexington Realty Trust (
, a real estate investment trust (REIT), recently announced that
one of its subsidiaries has acquired a warehouse and distribution
facility in Shreveport, Louisiana for around $13.0 million.
The acquired property is a recently constructed building
spanning 258,000 square foot and the subsidiary of Lexington Realty
had financed $2.5 million for the construction of the facility,
which the developer of the facility fully repaid at the time of the
The property is net leased to The Tire Rack, Inc. and the lease
term will end in March 2022. During the lease term, the average
rent of the property is approximately 10.0% of the acquisition
South Bend, Indiana-based Tire Rack, Inc. engages in the
distribution of automotive tires and wheels in Indiana, Nevada,
Connecticut, Delaware, Louisiana, and Georgia. The company also
offers other products like suspension products, brakes,
accessories, as well as installation and upgrade services.
The facility acquisition is a part of the company's long-term
strategy to focus on improving the quality of its portfolio by
divesting non-core assets and acquiring strategic assets. This
portfolio management effort is expected to free funds for further
investments and rewarding shareholders.
Recently, another joint venture partner of Lexington Realty
acquired a 55,650 square feet in-patient rehabilitation hospital in
Humble, Texas for $27.8 million. Further, one of the subsidiaries
of Lexington Realty also acquired a Texas-based 152 acres
industrial property for $23.0 million.
New York City-based Lexington Realty owns, invests and manages
office, industrial and retail properties net-leased to major
corporations throughout the United States and provides investment
advisory and asset management services to investors in the net
Lexington Realty, which competes with the likes of
Boston Properties Inc. (
Cousins Properties Inc. (
, will likely release its second quarter 2012 earnings on July 30,
2012. The Zacks Consensus Estimate for second quarter 2012 FFO per
share (fund from operations) is pegged at 23 cents. We presently
have long-term Neutral recommendation and a Zacks #2 Rank for the
company, implying a short-term Buy rating.
BOSTON PPTYS (BXP): Free Stock Analysis Report
COUSIN PROP INC (CUZ): Free Stock Analysis
LEXINGTON PPTY (LXP): Free Stock Analysis
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