Lexington Realty TrustLXP has announced the sale of two industrial and one office assets for gross proceeds of around $50 million. This disposition is in sync with the New York-based real estate investment trust's ("REIT") strategy of capital recycling and limiting its exposure to short-term leases. Further, the company is aiming at closing its operations in the office markets where it does not have a strong presence.
Notably, Lexington Realty sold its Boston, MA-based office property - 147 Milk Street - for a gross proceed of $33.3 million. Also, the company sold 7500 Chavenelle Road, the Dubuque, IA-based industrial property for $8.6 million and 477 Distribution Parkway, another industrial property, based in Collierville, TN for $7.7 million.
Lexington Realty is engaged in the ownership, operation and management of a diverse portfolio of real properties. A leader in single-tenant market, the REIT has expertise in sale-leaseback deals and provides construction financing of up to 100% to developers. Further, the long-term net lease deals with increase in rents per the contracts, maintain its cash flow momentum.
Zacks Rank & Stocks to Consider
The stock presently has a Zacks Rank #3 (Hold).
However, investors interested in the REIT sector can consider stocks like CoreSite Realty Corporation COR , Summit Hotel Properties, Inc. INN and W. P. Carey Inc. WPC . Each of these stocks sports a Zacks Rank #1 (Strong Buy).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.