W. P. Carey Closes Build-to-Suit Financing for Harbor Freight Tools Facility
Apr 4, 2013
NEW YORK, NY -- (Marketwired) -- 04/04/13 -- W. P. Carey Inc. (NYSE: WPC), a real estate investment trust ("REIT"), announced today that CPA®:17 - Global, one of its publicly held non-traded REIT affiliates, has provided funding for a build-to-suit construction project of approximately one million square feet to expand an existing one million square foot distribution facility located in Dillon, South Carolina that was originally acquired by CPA®:17 - Global in March 2011. Upon completion of the new facility, both facilities will be leased on a triple net basis for a period of 20 years to Harbor Freight Tools, a discount tool retailer with over 430 stores nationwide.
The Dillon facility has been the hub of Harbor Freight's eastern distribution network for over a decade, and this expansion will double its capacity, supporting the company's existing and future growth in the Eastern United States.
Commenting on the Harbor Freight Tools lease, W. P. Carey Managing Director and Co-Head of Global Investments, Gino Sabatini, noted, "This expansion will allow Harbor Freight to better serve its customers and support its growth on the East Coast. As the hub of their East Coast supply chain, the property is important to Harbor Freight's operations. At the same time, CPA®:17 - Global will benefit from the extension of its existing lease on the original facility, so that both leases will be coterminous. Given the benefits for both Harbor Freight and CPA®:17 - Global, this is a 'win-win' transaction that demonstrates how W. P. Carey can work with existing tenants to implement expansion plans and advance their strategic objectives."
Harbor Freight Tools
Founded 35 years ago and still family-owned, Harbor Freight Tools is America's leading provider of high quality tools at the lowest prices available at over 430 stores nationwide and on-line at www.harborfreight.com.
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, W. P. Carey'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 us 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 W. P. Carey'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 W. P. Carey, reference is made to W. P. Carey's filings with the Securities and Exchange Commission.
W. P. Carey Inc.
Ross & Lawrence
Source: W. P. Carey Inc.