- $134.5 million of acquisitions comprising 1.4 million square feet
- Quarter end occupancy of 93.7% compared to prior quarter of 93.8%
and prior year of 92.8%
- Common equity offering raised approximately $183.0 million in net
proceeds
- Added a $100.0 million five-year term loan
SAN FRANCISCO--(BUSINESS WIRE)--
Terreno Realty Corporation (NYSE:TRNO), an acquirer, owner and
operator of industrial real estate in six major coastal U.S. markets,
announced today its quarterly investment, operating and capital markets
activity for the fourth quarter of 2014.
Acquisitions
During the fourth quarter of 2014, Terreno Realty Corporation acquired
nine industrial properties consisting of 16 buildings containing
approximately 1.4 million square feet for an aggregate purchase price of
approximately $134.5 million. During 2014, Terreno Realty Corporation
acquired 29 industrial buildings aggregating approximately 2.3 million
square feet for an aggregate purchase price of approximately $235.7
million. In addition, Terreno Realty Corporation completed the 190,000
square foot expansion of its Interstate property in South Brunswick, New
Jersey for an estimated total investment of approximately $13.6 million.
The fourth quarter acquisition activity was as follows:
-
3401 Lind. One industrial building totaling approximately 113,000
square feet in Renton, Washington. This property provides 11 dock-high
and four grade-level loading positions and is immediately adjacent to
Terreno Realty Corporation’s 701 SW 34th Street Property,
approximately five miles from Sea-Tac International Airport. This
building was 100% leased to two tenants at acquisition and was
acquired for a purchase price of approximately $10.0 million,
including the assumption of a mortgage loan with a total principal
amount of approximately $5.7 million and a fixed annual interest rate
of 6.06% that matures in July 2016;
-
900 Hart. One industrial building totaling approximately 84,000 square
feet in Rahway, New Jersey adjacent to Exit 12 of the New Jersey
Turnpike and Route 1. This building provides eight dock-high and one
grade-level loading positions and was 52% leased to one tenant at
acquisition. The purchase price for this building was approximately
$7.2 million;
- Kent 216. One industrial building totaling approximately 107,000
square feet in Kent, Washington. This property is located adjacent to
Highway 167 in Kent Valley and provides 23 dock-high and three
grade-level loading positions and was 100% leased to two tenants at
acquisition. This building was acquired for a purchase price of
approximately $9.2 million;
-
9020 Junction. One R&D building totaling approximately 97,000 square
feet in Annapolis Junction, Maryland. This property provides six
dock-high and two grade-level loading positions and is located
approximately three miles from Fort Mead. This building was 100%
leased at acquisition to one tenant and was acquired for a purchase
price of approximately $13.8 million;
-
11205 NW 131st. One industrial building totaling approximately 85,000
square feet in Medley, Florida. This property provides 20 dock-high
and two grade-level loading positions and is adjacent to North
Okeechobee Road and Florida’s Turnpike. This building was 100% leased
at acquisition to three tenants and was acquired for a purchase price
of approximately $8.9 million;
- Terminal Way. Two industrial buildings totaling approximately 80,000
square feet in Avenel, New Jersey. This property provides 18 dock-high
loading positions and is adjacent to Exit 12 of the New Jersey
Turnpike and Route 1. These buildings were 100% leased at acquisition
to one tenant and were acquired for a purchase price of approximately
$7.5 million;
-
14605 Miller. One industrial building totaling approximately 265,500
square feet in Fontana, California. This property provides 70
dock-high and four grade-level loading positions and is approximately
six miles from the intersection of Interstates 10 and 15 in the
western Inland Empire. This building was 100% leased at acquisition to
one tenant and was acquired for a purchase price of approximately
$22.9 million;
-
Central Pacific. One industrial building and two flex buildings
totaling approximately 170,000 square feet in Union City, California.
This property is adjacent to Interstate 880 between California
Highways 92 and 84 and provides 24 dock-high and 24 grade-level
loading positions. These buildings were 98% leased at acquisition to
25 tenants and were acquired for a purchase price of approximately
$23.8 million; and
-
Ardmore. Five industrial buildings totaling approximately 384,000
square feet in Landover, Maryland. These buildings provide 67
dock-high and 17 grade-level loading positions and are inside the
Capital Beltway approximately three miles from the District of
Columbia and adjacent to Highway 50. These buildings were 89% leased
at acquisition to 22 tenants and were acquired for a purchase price of
approximately $31.2 million.
Terreno Realty Corporation currently has approximately $195.3 million of
acquisitions under contract and $8.5 million under letter of intent,
including one contract to acquire six buildings in Washington, D.C. for
a purchase price of approximately $116.0 million.
Terreno Realty Corporation has one property located in the Washington,
D.C./Baltimore market under contract for sale for approximately $11.2
million.
There is no assurance that Terreno Realty Corporation will acquire or
dispose of the properties under contract or letter of intent because the
proposed acquisitions and disposition are subject to the completion of
satisfactory due diligence, closing conditions and, in the case of
letters of intent, contracts.
Operations
As of December 31, 2014, Terreno Realty Corporation owned a total of 126
buildings aggregating approximately 9.3 million square feet, which were
approximately 93.7% leased to 299 tenants. The leased percentage was
93.8% at September 30, 2014 and 92.8% at December 31, 2013. The same
store portfolio of approximately 4.8 million square feet was 97.1%
leased at December 31, 2014 as compared to 95.0% at September 30, 2014
and 96.3% at December 31, 2013.
Capital Markets Activity
During the fourth quarter of 2014, Terreno Realty Corporation:
-
Issued 9,775,000 shares of common stock at a price per share of
$19.60, generating approximately $183.0 million in net proceeds;
-
Added a new $100.0 million five-year term loan which bears interest at
an annual rate of LIBOR plus 1.50% to 2.05% depending on leverage and
matures in March 2020; and
-
Issued no shares of stock under the Company’s at-the-market equity
offering program.
Additional information is available on the company’s website at www.terreno.com.
Terreno Realty Corporation expects to file its annual report on Form
10-K for the year ended December 31, 2014 on or about February 11, 2015.
Terreno Realty Corporation is an acquirer, owner and operator of
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./Baltimore.
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”,
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 and those risk factors
contained in our Annual Report on Form 10-K for the year ended December
31, 2013 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.
Terreno Realty Corporation
W. Blake Baird or Michael A. Coke,
415-655-4580
Source: Terreno Realty Corporation