SAN FRANCISCO–Terreno Realty Corporation (NYSE:TRNO), an acquirer, owner and operator of industrial real estate in six major coastal U.S. markets, acquired an industrial property located in Kent, Washington on July 2, 2015 for a purchase price of approximately $12.3 million, including the assumption of a mortgage loan with a principal balance of approximately $4.8 million. The loan bears interest at approximately 5.7% and matures March 11, 2016.
The property consists of four industrial distribution buildings containing approximately 138,000 square feet on approximately 7.6 acres in the Kent Valley. The property is at 22402-22446 72nd Avenue South, provides 50 dock-high and 18 grade-level loading positions, parking for 166 cars and is 94% leased to 13 tenants. The estimated stabilized cap rate of the property is 6.2%.
Estimated stabilized cap rates are calculated as annualized cash basis net operating income stabilized to market occupancy (generally 95%) divided by total acquisition cost. Total acquisition cost includes the initial purchase price, the effects of marking assumed debt to market, buyer’s due diligence and closing costs, estimated near-term capital expenditures and leasing costs necessary to achieve stabilization.
Terreno Realty Corporation is an acquirer, owner and operator of industrial real estate in six major coastal U.S. markets: Los Angeles; Northern New Jersey/New York City; San Francisco Bay Area; Seattle; Miami; and Washington, D.C./Baltimore.
Additional information about Terreno Realty Corporation is available on the company’s web site at www.terreno.com.