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Gramercy Property (GPT) Acquires Two Properties in Georgia

Gramercy Property Trust Inc.GPT disclosed the acquisition of two industrial buildings aggregating 222,100 square feet in Norcross, GA. The company shelled out $12.5 million in cash for the transaction.

Of the two warehouses, one is leased to a leading producer, servicer and supplier of diesel and gasoline engines. This property encompasses 142,100 square feet of space. The other property is leased to a leading distributor of tools, equipment and machinery to the stone fabrication industry. It covers an area of 80,000 square feet of space.

The acquisitions seem to be a strategic fit for Gramercy Property. The properties have a weighted average remaining lease term of 8.9 years and the combined year 1 net operating income would be around $861,100 (6.9% initial cap rate).

Gramercy Property operates as a commercial real estate investment and asset management company organized as a real estate investment trust (REIT). The company owns and operates office and industrial properties, net leased on a long-term basis to tenants. Gramercy Property Trust Inc., formerly known as Gramercy Capital Corp., is headquartered in New York.

Notably, in Jul 2015, Gramercy Property announced a definitive deal to merge with Chambers Street Properties CSG . This transaction would create a company with an expected enterprise value of around $5.6 billion. The merger is expected to close in Dec 2015.

Gramercy Property currently has a Zacks Rank #3 (Hold). Investors interested in the REIT industry may consider stocks like Cousins Properties Incorporated CUZ and Highwoods Properties Inc. HIW . Both stocks have a Zacks Rank #2 (Buy).

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HIGHWOODS PPTYS (HIW): Free Stock Analysis Report

COUSIN PROP INC (CUZ): Free Stock Analysis Report

CHAMBERS ST PPT (CSG): Free Stock Analysis Report

GRAMERCY PROPRT (GPT): Free Stock Analysis Report

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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