Gramercy closes on six more acquisitions

|About: Gramercy Property Trust,... (GPT)|By:, SA News Editor

For those wondering what lit a fire under Gramercy Property Trust (GPT) late last week, this news isn't it, but it does show the company continuing to execute on its business plan. Gramercy announces the acquisition of six more properties for a total purchase price of $86M. Year 1 NOI is expected at $6.4M with initial cap rate of 7.5% (GAAP cap is 8.6%). There are fixed rent escalations throughout the respective lease terms (weighted average length of leases is 11.6 years). Gramercy also assumed a $22.5M fixed-rate mortgage at 4% with 6.1 years remaining, secured by one of the purchased properties.

The company also closed on a 10-year, $12.6M mortgage with 5.15% interest rate secured by its previously purchased cold storage and distribution facility in Yuma, AZ.