Terreno Realty Corporation Acquires Property in Kirkland, WA for $33.8 Million

Rhea-AI Summary

Terreno Realty Corporation (NYSE:TRNO) announced the acquisition of an industrial property in Kirkland, Washington on February 25, 2021, for approximately $33.8 million. The property spans 127,000 square feet on 7.2 acres, featuring 20 dock-high and seven grade-level loading positions along with parking for 252 cars. Currently, it is fully leased to five tenants, with leases expiring by December 2026, and an estimated stabilized cap rate of 2.9%. This acquisition expands Terreno's industrial real estate portfolio in key coastal U.S. markets.

Positive

• Acquisition enhances portfolio value with a strategic property in a prime location.
• Fully leased property ensures steady cash flow until December 2026.
• Estimated stabilized cap rate of 2.9% indicates potential for attractive returns.

Negative

• None.

Terreno Realty Corporation (NYSE:TRNO), an acquirer, owner and operator of industrial real estate in six major coastal U.S. markets, acquired an industrial property located in Kirkland, Washington on February 25, 2021 for a purchase price of approximately $33.8 million.

The property consists of one industrial distribution building containing approximately 127,000 square feet on 7.2 acres. The property is at 10822-10856 117^th Place NE, adjacent to I-405, provides 20 dock-high and seven grade-level loading positions and parking for 252 cars. The property is 100% leased to five tenants, all of which expire by December 2026. The estimated stabilized cap rate of the property is 2.9%.

Estimated stabilized cap rates are calculated as annualized cash basis net operating income stabilized to market occupancy (generally 95%) divided by total acquisition cost. Total acquisition cost includes the initial purchase price, the effects of marking assumed debt to market, buyer’s due diligence and closing costs, estimated near-term capital expenditures and leasing costs necessary to achieve stabilization.

Terreno Realty Corporation acquires, owns and operates industrial real estate in six major coastal U.S. markets: Los Angeles, Northern New Jersey/New York City, San Francisco Bay Area, Seattle, Miami, and Washington, D.C.

Additional information about Terreno Realty Corporation is available on the company’s web site at www.terreno.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the federal securities laws. We caution investors that forward-looking statements are based on management’s beliefs and on assumptions made by, and information currently available to, management. When used, the words “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “project,” “result,” “should,” “will,” “seek,” “target,” “see,” “likely,” “position,” “opportunity,” “outlook,” “potential,” “enthusiastic,” “future” and similar expressions which do not relate solely to historical matters are intended to identify forward-looking statements. These statements are subject to risks, uncertainties, and assumptions and are not guarantees of future performance, which may be affected by known and unknown risks, trends, uncertainties, and factors that are beyond our control, including risks related to our ability to meet our estimated forecasts related to stabilized cap rates, the impact of the COVID-19 pandemic on our business, our tenants and the national and local economies, and those risk factors contained in our Annual Report on Form 10-K for the year ended December 31, 2020 and our other public filings. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated, estimated, or projected. We expressly disclaim any responsibility to update our forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law. Accordingly, investors should use caution in relying on past forward-looking statements, which are based on results and trends at the time they are made, to anticipate future results or trends.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210226005080/en/

FAQ

What is the acquisition date of the Kirkland property by Terreno Realty Corporation?

Terreno Realty Corporation acquired the Kirkland property on February 25, 2021.

What is the purchase price of the Kirkland property acquired by TRNO?

The purchase price of the Kirkland property is approximately $33.8 million.

What is the size of the Kirkland property acquired by Terreno Realty?

The Kirkland property consists of approximately 127,000 square feet on 7.2 acres.

How many tenants occupy the Kirkland property and when do their leases expire?

The Kirkland property is 100% leased to five tenants, all leases expiring by December 2026.

What is the estimated stabilized cap rate for the Kirkland property?

The estimated stabilized cap rate for the Kirkland property is 2.9%.