Terreno Realty Corporation Acquires Property in San Jose, CA for $23.0 Million

Rhea-AI Summary

Terreno Realty Corporation (NYSE:TRNO) has successfully acquired an industrial property in San Jose, California for approximately $23.0 million as of October 29, 2021. The 7.2-acre land parcel, located at 1300 Berryessa Road, is strategically positioned between U.S. 101 and Interstate 680. The estimated stabilized cap rate is 5.2%.

Terreno Realty operates in six major coastal U.S. markets, focusing on industrial real estate opportunities.

Positive

• Acquired a strategic industrial property in San Jose for $23.0 million, enhancing portfolio value.
• The estimated stabilized cap rate of 5.2% indicates potential for solid returns.

Negative

• Risks associated with integration and stabilization of the new property.
• Potential market volatility due to external economic factors affecting real estate.

BELLEVUE, Wash.--(BUSINESS WIRE)-- 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 in San Jose, California on October 29, 2021 for a purchase price of approximately $23.0 million.

The 7.2-acre improved land parcel at 1300 Berryessa Road is between U.S. 101 and Interstate 680 and adjacent to the Berryessa/North San Jose Bay Area Rapid Transit Station. The property is vacant and the estimated stabilized cap rate is 5.2%.

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/20211102005054/en/

Jaime Cannon

415-655-4580

Source: Terreno Realty Corporation

FAQ

What industrial property did Terreno Realty Corporation acquire in San Jose?

Terreno Realty Corporation acquired a 7.2-acre industrial property located at 1300 Berryessa Road in San Jose, California.

What was the purchase price for the San Jose property by TRNO?

The purchase price for the San Jose property was approximately $23.0 million.

When did Terreno Realty Corporation acquire the San Jose property?

Terreno Realty Corporation acquired the San Jose property on October 29, 2021.

What is the estimated stabilized cap rate for the San Jose acquisition?

The estimated stabilized cap rate for the San Jose acquisition is 5.2%.

How does this acquisition impact Terreno Realty Corporation?

The acquisition enhances Terreno Realty's industrial real estate portfolio in a key coastal U.S. market, potentially driving future revenue growth.