INDUS Announces Acquisition of Industrial/Logistics Building

Rhea-AI Summary

INDUS Realty Trust (Nasdaq: INDT) has successfully acquired a fully-leased 127,500 square foot industrial/logistics building in the Lehigh Valley, Pennsylvania, for $11.7 million. The acquisition was funded with cash reserves. CEO Michael Gamzon expressed optimism about the strategic importance of this property, noting that the current rent is below market rates and that there are opportunities for future improvements on the site. This purchase increases INDUS’s holdings in the Lehigh Valley to approximately 1.4 million square feet across high-quality, fully-leased properties.

Positive

• Acquisition of a fully-leased property enhances portfolio diversification.
• Current rent of the acquired building is below market, indicating potential for future revenue growth.
• Acquisition increases total holdings in Lehigh Valley to approximately 1.4 million square feet.

Negative

• None.

NEW YORK, May 13, 2021 (GLOBE NEWSWIRE) -- INDUS Realty Trust, Inc. (Nasdaq: INDT) (“INDUS” or the “Company”) announced today that it closed on the acquisition of a fully-leased 127,500 square foot industrial/logistics building in the Lehigh Valley, Pennsylvania market for a purchase price of $11.7 million before transaction costs. The Company used cash on hand to pay for this acquisition.

Michael Gamzon, President and Chief Executive Officer of INDUS commented, “We are thrilled to expand our presence in the core Lehigh Valley market with a building that is leased to a credit tenant. We believe this acquisition provides the opportunity to create significant value over time as the current in-place rent is below market and the excess land on the site provides options for potential future improvements. The building complements our existing 1.3 million square foot Lehigh Valley portfolio and is located in the same corporate park as our Ambassador Drive building.”

INDUS now owns approximately 1.4 million square feet across seven high quality industrial/logistics buildings in the Lehigh Valley which are 100% leased and have an average clear height of 32’and average building age of 10 years.

About INDUS

INDUS (formerly known as Griffin Industrial Realty, Inc.) is a real estate business principally engaged in developing, acquiring, managing and leasing industrial/logistics properties. INDUS owns 42 buildings totaling approximately 4.7 million square feet (including 31 industrial/logistics buildings aggregating approximately 4.3 million square feet) in Connecticut, Pennsylvania, North Carolina and Florida in addition to over 3,400 acres of undeveloped land.

CONTACT:
Anthony Galici
Chief Financial Officer
(860) 286-1307
agalici@indusrt.com

Ashley Pizzo
Director, IR & Capital Markets
(212) 218-7914
apizzo@indusrt.com

FAQ

What recent acquisition did INDUS Realty Trust make?

INDUS Realty Trust acquired a fully-leased 127,500 square foot industrial/logistics building in Lehigh Valley for $11.7 million.

How was the acquisition of the building in Lehigh Valley financed?

The acquisition was financed using cash on hand.

What is the potential impact of the acquisition on INDUS's portfolio?

The acquisition is expected to create significant value over time due to below-market rents and future improvement options.

What is the current size of INDUS's holdings in the Lehigh Valley?

Post-acquisition, INDUS owns approximately 1.4 million square feet of industrial/logistics buildings in the Lehigh Valley.