Subsequent Events |
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| Subsequent Events [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Subsequent Events |
Subsequent Events
Distributions
On July 11, 2017, our Board of Directors declared the following monthly distributions for the months of July, August and September of 2017:
Leasing and Acquisition Activity
On July 1, 2017, we executed a lease extension with the tenant occupying our 223,275 square foot property located in Pocono, Pennsylvania. The lease was extended for an additional ten years through July 31, 2031. The lease provides for prescribed rent escalations over its life with annualized GAAP rents of $0.6 million.
On July 7, 2017, we acquired a 300,000 square foot property, located in Philadelphia Pennsylvania, for $26.4 million, net of acquisition costs. We funded this acquisition with existing cash on hand and the issuance of $14.9 million of mortgage debt with a 10.1 year term and a fixed rate of 3.75%. This property is 100% leased to one tenant through 2032, with a termination option beginning in 2027. The lease provides for prescribed rent escalations over its life with annualized GAAP rents of $1.8 million. This lease has a base year expense stop. We treated this purchase as an asset acquisition under the provisions of ASU 2017-01 “Clarifying the Definition of a Business.”
On July 31, 2017, we acquired a 306,435 square foot 3 property portfolio, located in Maitland, Florida, a suburb of Orlando, Florida, for $51.4 million, net of acquisition costs. We funded this acquisition with existing cash on hand, common equity proceeds, and the issuance of $28.8 million of mortgage debt with a 10 year term and a fixed rate of 3.89%. This portfolio is 100% leased to 6 tenants, with 72.0% of the portfolio leased by one tenant with 10.2 years of remaining lease term. The weighted average lease term on the portfolio is 8.7 years. All leases on the portfolio provide for prescribed rent escalations over their life with annualized GAAP rents of $6.7 million. All leases have base year expense stops. We treated this purchase as an asset acquisition under the provisions of ASU 2017-01 “Clarifying the Definition of a Business.”
Common Stock Offering
On July 25, 2017, we completed an overnight offering of 1.2 million shares of our common stock, at an offering price of $20.52 per share. Net proceeds, after deducting offering expenses and underwriter discounts, were $22.7 million. The proceeds from this offering were used to acquire real estate, repay outstanding debt, and for other general corporate purposes.
On July 31, 2017, our overnight offering underwriters exercised their overallotment option, in which our underwriters agreed to purchase 0.2 million shares of our common stock at an offering price of $20.52 per share. Net proceeds, after deducting offering expenses and underwriter discounts, were $3.4 million. The proceeds from this overallotment were used to acquire real estate, repay outstanding debt, and for other general corporate purposes.
ATM Equity Activity
Subsequent to June 30, 2017 and through July 31, 2017, we were active in our Common Stock ATM Program, raising $11.9 million in net proceeds from the sale of 0.6 million shares of common stock. Under our Series D Preferred ATM Program, we raised net proceeds or $1.6 million from the sale of 0.06 million shares of Series D Preferred.
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