HOUSTON--(BUSINESS WIRE)--Apr. 11, 2012--
Weingarten Realty Investors (NYSE: WRI), a leading owner, manager and
developer of shopping centers, announced today that it has entered into
a definitive agreement to sell its wholly-owned industrial portfolio to
DRA Advisors LLC (“DRA”). The portfolio is comprised of 52 industrial
properties, aggregating approximately 9.6 million square feet located in
Florida, Georgia, Tennessee, Texas and Virginia. The portfolio is
predominately unencumbered, with DRA assuming one secured loan of $4.9
million. The sale price is $382.4 million, representing a capitalization
rate of approximately 8%.
Proceeds from this transaction will be used to pay down amounts
outstanding under its revolving credit facility and repay a $200 million
unsecured term loan, resulting in a further strengthening of the
Company’s balance sheet and providing additional capacity to fund growth
opportunities in its core retail markets.
“The sale of this portfolio demonstrates our commitment to the Company’s
capital recycling initiative. It is a significant step toward the
strategic exit from industrial real estate, further strengthening our
position as a pure-play retail REIT,” said Drew Alexander, President and
Chief Executive Officer.
The Company retains an interest in two joint venture relationships,
which at the Company’s pro rata share, aggregates approximately 1.4
million square feet of industrial real estate.
Closing of the transaction is subject to customary conditions and is
expected to occur within the next forty-five to sixty days.
J.P. Morgan Securities LLC served as financial advisor to Weingarten on
About Weingarten Realty Investors
Weingarten Realty Investors (NYSE: WRI) is a commercial real estate
owner, manager and developer. At December 31, 2011, the Company owned or
operated under long-term leases, either directly or through its interest
in real estate joint ventures or partnerships, a total of 380 developed
income-producing properties and 11 properties under various stages of
construction and development. The total number of properties includes
313 neighborhood and community shopping centers located in 23 states
spanning the country from coast to coast. The Company also owns 75
industrial projects located in California, Florida, Georgia, Tennessee,
Texas and Virginia and three other operating properties located in
Arizona and Texas. At December 31, 2011, the Company operated a
portfolio of properties representing approximately 76.1 million square
feet. To learn more about the Company’s operations and growth
strategies, please visit www.weingarten.com.
Source: Weingarten Realty Investors
Weingarten Realty Investors
Tim Goss, 713-866-6050