W. P. Carey Acquires Tommy Hilfiger European Distribution Center
May 1, 2013
LONDON--(Marketwired - May 01, 2013) - W. P. Carey Inc. (NYSE: WPC), a real estate investment trust ("REIT") specializing in corporate sale leaseback financing, build-to-suit construction financing, and the acquisition of single-tenant net-lease properties, announced today that it has acquired the main European distribution center of the Tommy Hilfiger Group from its current landlord, Aspen Real Estate Investments BV.
The total acquisition cost for the facility was approximately EUR 30 million ($38.8 million). The facility is subject to an existing net lease with Tommy Hilfiger Europe B.V. Headquartered in Amsterdam, Tommy Hilfiger Europe B.V. represents the European business of the Tommy Hilfiger Group. In Europe, Tommy Hilfiger sells to more than 9,000 wholesalers and owns / operates 118 retail stores and 43 outlet stores. Since 2010, the Tommy Hilfiger Group has been owned by PVH Corp (NYSE: PVH), one of the world's largest apparel companies.
The facility is Tommy Hilfiger's main logistics centre for all of Europe. It has received significant investment by Tommy Hilfiger for internal fit-out and has both unbuilt land and adjacent land available for expansion. The facility is located in Venlo, a core logistics hub in the Netherlands. Venlo is an established distribution location, with close proximity to the German border and the two largest ports in Europe.
Jeffrey Lefleur, Managing Director of W. P. Carey, said: "This was an excellent opportunity to acquire an operationally critical single-tenant property in a prime logistics location. As a dedicated landlord and financing partner, we welcome this opportunity to support the future growth of Tommy Hilfiger in Europe."
W. P. Carey Inc. Celebrating its 40th anniversary, W. P. Carey Inc. is a publicly traded REIT (NYSE: WPC) that provides long-term sale-leaseback and build-to-suit financing for companies worldwide and owns and manages an investment portfolio totaling approximately $14.1 billion. The largest owner/manager of net lease assets, WPC's corporate finance-focused credit and real estate underwriting process is a constant that has been successfully leveraged across a wide variety of industries and property types. Our portfolio of long-term leases with creditworthy tenants has an established history of generating stable cash flows that have enabled the Company to deliver consistent and rising dividend income to investors for nearly four decades. www.wpcarey.com
This press release contains forward-looking statements within the meaning of the Federal securities laws. A number of factors could cause the Company's actual results, performance or achievement to differ materially from those anticipated. Among those risks, trends and uncertainties are the general economic climate; the supply of and demand for office and industrial properties; interest rate levels; the availability of financing; and other risks associated with the acquisition and ownership of properties, including risks that the tenants will not pay rent, or that costs may be greater than anticipated. For further information on factors that could impact the Company, reference is made to the Company's filings with the Securities and Exchange Commission.
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Source: W. P. Carey Inc.