Presidio Property Trust Announces Acquisition of Medical/Office Property

Rhea-AI Summary

Presidio Property Trust has announced the successful acquisition of a commercial property fully leased to Johns Hopkins University's Bloomberg School of Public Health in Baltimore for cash. This property aligns with Presidio's strategy to expand into markets with strong university and hospital presences. The acquisition features a triple-net lease with steady annual rent increases, promising robust cash flow. CBRE represented the seller in this transaction, enhancing Presidio's portfolio with a reputable tenant in the healthcare sector.

Positive

• Acquisition of 100% leased property to Johns Hopkins University enhances tenant diversity.
• Triple-net lease structure ensures steady cash flow with predictable annual rent increases.
• Alignment with strategic expansion into markets supported by university and hospital presence.

Negative

• None.

SAN DIEGO, CA / ACCESSWIRE / December 22, 2021 / (NASDAQ:SQFT)(NASDAQ:SQFTP) Presidio Property Trust, Inc. ("Presidio" or the "Company"), an internally managed, diversified real estate investment trust ("REIT"), today announced the closing of a commercial property that is 100% leased to Johns Hopkins' University's Bloomberg School of Public Health in Baltimore, Maryland, in an all-cash acquisition.

"We are pleased to announce our acquisition of a clinical research and support facility, leased to a credit tenant. This acquisition fits well with our expansion strategy into markets that are supported by university and hospital campus presence," said Jack Heilbron, Chief Executive Officer and President of Presidio.

Gary Katz, Chief Investment Officer, added, "With a triple-net structure and steady annual rent increases, we expect to see strong cash flow from this property. It is great to have a top-ranked university system join the family of Presidio commercial tenants."

CBRE's US Healthcare & Life Sciences Capital Markets team represented the seller in this transaction.

About Presidio Property Trust

Presidio is an internally managed, diversified REIT with holdings in office, industrial, and retail properties, and model home properties which are triple-net leased to homebuilders. Presidio's model homes are leased to homebuilders located primarily in Texas and Florida and its office, industrial and retail properties are located primarily in Colorado, with properties also located in North Dakota and in Southern California. While geographical clustering of real estate enables Presidio to reduce its operating costs through economies of scale by servicing a number of properties with less staff, it makes Presidio susceptible to changing market conditions in these discrete geographic areas, including those that have developed as a result of COVID-19. For more information on Presidio, please visit the Company's website at https://www.PresidioPT.com.

Cautionary Note Regarding Forward-Looking Statements

This press release contains statements that are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and other federal securities laws. Forward-looking statements are statements that are not historical, including statements regarding management's intentions, beliefs, expectations, representations, plans or predictions of the future, and are typically identified by such words as "believe," "expect," "anticipate," "intend," "estimate," "may," "will," "should" and "could." Because such statements include risks, uncertainties and contingencies, actual results may differ materially from those expressed or implied by such forward-looking statements. These forward-looking statements are based upon the Company's present expectations, but these statements are not guaranteed to occur. Except as required by law, the Company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events or other changes. Investors should not place undue reliance upon forward-looking statements. For further discussion of the factors that could affect outcomes, please refer to the "Risk Factors" section of the Company's documents filed with the SEC, copies of which are available on the SEC's website, www.sec.gov.

Investor Relations Contact:

Presidio Property Trust, Inc.
Lowell Hartkorn, Investor Relations
LHartkorn@presidiopt.com
Telephone: (760) 471-8536 x1244

SOURCE: Presidio Property Trust, Inc.

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https://www.accesswire.com/678983/Presidio-Property-Trust-Announces-Acquisition-of-MedicalOffice-Property

FAQ

What property did Presidio Property Trust acquire?

Presidio Property Trust acquired a commercial property fully leased to Johns Hopkins University's Bloomberg School of Public Health.

What is the significance of the acquisition for Presidio?

The acquisition supports Presidio's strategy for expansion into markets with strong university and hospital presences, enhancing tenant diversity.

How will this acquisition impact Presidio's cash flow?

The property features a triple-net lease structure with steady annual rent increases, which is expected to provide strong cash flow.

Who represented the seller in this acquisition?

CBRE's US Healthcare & Life Sciences Capital Markets team represented the seller in the transaction.

What are the potential risks associated with this acquisition?

The acquisition can expose Presidio to market conditions influenced by changes in the healthcare sector or university operations.