Gladstone Commercial Corporation Announces $2.8 million Industrial Property Acquisition in Philadelphia Area
MCLEAN, Va., Feb. 11, 2019 (GLOBE NEWSWIRE) -- Gladstone Commercial Corporation (NASDAQ: GOOD) (“Gladstone Commercial”) announced today that it completed the acquisition of a 26,050 square foot industrial building in Moorestown, NJ (Philadelphia MSA) for $2.7 million. The initial capitalization rate for the acquisition was 7.8%, with an average capitalization rate of 8.8%.
The property is 100% occupied by Shields Business Solutions, Inc. (“Shields”), a provider of cash logistics and carrier services, as well as the sale and maintenance of ATMs and other technologies used in the banking industry. The property, which has been occupied by Shields since its construction in 1991, houses the majority of the company’s business operations and serves as its corporate headquarters. Simultaneous with closing, Gladstone Commercial and Shields executed a 15 year, absolute-NNN lease. The acquisition of the industrial property is consistent with Gladstone Commercial’s strategy of acquiring high-quality assets in growth regions with credit-worthy tenants.
“This acquisition adds to our quality industrial holdings and expands our presence in the Philadelphia area, one of our target markets,” said Matt Tucker, Senior Managing Director of the Northeast/Midwest Region. “Burlington County is one of Philadelphia’s strongest submarkets, with exceptional infrastructure access that will drive long-term demand. The property is mission critical for the tenant, can be expanded by approximately 25,000 square feet, and should provide our investors with long term steady returns.”
“This transaction continues to promote our strategy of increasing our allocation to industrial buildings while growing our portfolio in key target markets,” said Bob Cutlip, President of Gladstone Commercial.
About Gladstone Commercial (NASDAQ: GOOD)
Gladstone Commercial is a real estate investment trust focused on acquiring, owning and operating net leased industrial and office properties across the United States. As of September 30, 2018, its real estate portfolio consisted of 99 properties located in 24 states, totaling approximately 11.6 million square feet. For additional information please visit www.gladstonecommercial.com.
For Broker Submittals:
|Buzz Cooper||Matt Tucker|
|Senior Managing Director||Senior Managing Director|
|(703) 287-5815||(703) 287-5830|
Investor or Media Inquiries:
|President – Gladstone Commercial Corporation|
All statements contained in this press release, other than historical facts, may constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Words such as “anticipates,” “expects,” “intends,” “plans,” “believes,” “seeks,” “estimates” and variations of these words and similar expressions are intended to identify forward-looking statements. Readers should not rely upon forward-looking statements because the matters they describe are subject to known and unknown risks and uncertainties that could cause the Company’s business, financial condition, liquidity, results of operations, funds from operations or prospects to differ materially from those expressed in or implied by such statements. Such risks and uncertainties are disclosed under the caption “Risk Factors” of the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2017, as filed with the SEC on February 14, 2018 and certain other filings we make with the SEC. The Company cautions readers not to place undue reliance on any such forward-looking statements which speak only as of the date made. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
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SOURCE: Gladstone Commercial Corporation
Released February 11, 2019