2008-10-22 22:23:00 -
- While the recent credit crisis in the financial and banking markets has created turmoil and confusion, opportunities can be found to buy commercial real estate at potentially attractive pricing, according to Dividend Capital Total Realty Trust Inc., a diversified real estate investment trust (REIT) that has been actively purchasing commercial real estate assets over the past several weeks.
The Denver, Colorado based REIT has acquired 12 properties since September 15, 2008, as well as a commercial real estate debt investment. The acquisitions include:
-- A portfolio of five industrial distribution facilities located in Louisville, KY. The portfolio, totaling approximately 889,000 square feet, is currently 97% occupied.
-- A Class A office property located in the Lower Downtown submarket of Denver, CO. The 133,500 square foot office building is currently 98% occupied.
-- A Class A office property located in the Eden Prairie submarket of Minneapolis, MN. The property is approximately 107,000 square feet and is currently 100% occupied.
-- A portfolio of five freestanding restaurants with triple-net leases guaranteed by restaurant operator Ruth's Hospitality Group. The properties are located in Palm Beach, FL, Tampa Bay, FL, New Orleans, LA, Palm Springs, CA, and Columbus, OH.
-- A strategic debt investment in a 616,000 square foot, 32-story Class-A office building located in the central business district of Pittsburgh, PA.
"Our strong balance sheet puts us in a position to deploy capital into accretive real estate assets. At the end of the second quarter, we had approximately $450 million of cash to deploy into acquiring properties in an opportunistic market," said Guy Arnold, president of Dividend Capital Total Realty Trust. "Pricing has most definitely moved in the favor of buyers during these turbulent market conditions. On the aggregate group of transactions outlined above, the average unlevered yield is above 8%."
Dividend Capital Total Realty Trust, a Denver-based REIT, invests in a diversified portfolio of commercial real estate assets. The company currently owns 74 properties totaling approximately 12 million square feet in 25 geographic markets.
Certain items in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "may," "will," "expect(s)," "could," "should," and "continue" and similar expressions are intended to identify such forward-looking statements. These statements are based on management's current expectations and beliefs and are subject to a number of risks and uncertainties that could lead to actual results materially different from those described in the forward-looking statements. Dividend Capital Total Realty Trust can give no assurance that its expectations will be attained. Factors that could cause actual results to differ materially from Dividend Capital Total Realty Trust's expectations include, but are not limited to, the uncertainty of the sources for funding Dividend Capital Total Realty Trust's future capital needs, delays in the acquisition, development and construction of real properties, changes in economic conditions generally and the real estate and securities markets specifically and the other risks detailed from time to time in Dividend Capital Total Realty Trust's SEC reports. Such forward-looking statements speak only as of the date of this press release. Dividend Capital Total Realty Trust expressly disclaims any obligation to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the company's expectations with regard thereto or change in events, conditions or circumstances on which any statement is based.
Hewes Communications
Tucker Hewes, 212-207-9451
