By Balazs Szekely, Associate Editor
Gramercy Property Trust announced that it closed on the sale and leaseback of an industrial property totaling 131,800 square feet in Pinellas Park. The real estate investment trust acquired the property all-cash for $11.1 million.
Constructed in 1997 and expanded later in 2005, the warehouse is 100 percent leased to a global importer and retailer of fine cigars and cigar accessories. Upon closing, the tenant has renewed its agreement with the new ownership for fifteen years. The contract stipulates a new lease for the entire facility expiring in September 2030 with 2.5 percent annual increases. Year 1 net operating income will be approximately $771,000 (6.9 percent initial cap rate; 8.3 percent annualized straight-line cap rate).
Gramercy Property Trust is a global investor and asset manager of commercial real estate, specialized in acquiring and managing single-tenant, net-leased industrial and office properties purchased through sale-leaseback transactions or directly from property developers and owners. According to the company’s mid-year data, their nationwide portfolio of 172 properties—totaling 20.3 million square feet—maintained a 99.6 percent occupancy.
Photo via Gramercy Property Trust