RCA in the commercial property press:

Aussie I-Bank Taking Offers over $3.5 bn for Commercial-REIT Spirit Finance

Bloomberg reports: According to recent report on Bloomberg.com, a buyout deal is unfolding that, if completed, would be the largest sale of a U.S. real estate investment trust (REIT) since Tishman Speyer took over Archstone-Smith Trust in 2007. Australian Investment Bank Macquarie Group Ltd. is taking offers starting at $3.5 billion to sell Scottsdale, AZ-based Spirit Finance Corp. Spirit is a publicly traded REIT, with $3.5 billion in assets and $2.9 billion of debt as of year-end 2009.

Asked to weigh in on the potential sale, Real Capital's analyst Ben Thypin stated that, “REITs and private-equity firms would have a lot of interest in a company like Spirit because their tenant quality makes cash flows predictable in an uncertain market.” Spirit’s current portfolio holdings include 1,200 retail assets across 45 states, with concentrations of sale-leaseback and single-tenant properties.

Thypin added that the sale of Spirit to a potential buyer has broader implications for other major REIT and commercial real estate investors. A successful sale would give property traders the “…confidence that they can unload their boom-era investments.”

Articles related to this topic:

 Tishman Speyer Renegotiates Debt on Seattle Office Property
 Private equity firm Fortress raising its bets
 Investment Sales Nationally—Where To?
 Chicago Office Tower Deal Sets Pricing Record
 Is it Time to Buy Commercial Real Estate? (Video)

Posted by: Nina Turner

<< Prev

Next >>