September 6, 2018
New York-based Lexington Realty Trust disposed of a portfolio of 21 properties across the U.S. to a joint venture between affiliates of Davidson Kempner Capital Management LP (DKCM) and Lexington for $726 million. The 12-state transaction was completed at GAAP and cash capitalization rates of 8.6% and 8.1%, respectively.
Lexington’s T. Wilson Eglin says, “This transaction marks a major step forward as we execute on our strategy to efficiently recycle capital out of suburban office properties and concentrate our portfolio on single-tenant net-leased industrial properties.”
The properties are 98.6% leased, and are comprised of roughly 3.8 million square feet with a weighted-average remaining lease term of approximately 9.5 years and a weighted-average age of 23 years. The joint venture is 80% owned by affiliates of DKCM, with Lexington retaining a 20% interest.
For comments, questions or concerns, please contact Dennis Kaiser
*Pictured 9201 East Dry Creek Rd. Centennial, CO