TORONTO, April 21, 2016 /CNW/ – WPT Industrial Real Estate Investment Trust (the “REIT“) (TSX: WIR.U – OTCQX: WPTIF) announced today that it has renewed a 648,750 square foot lease with CEVA Logistics U.S. Inc., a leading supply chain company and one of the REIT’s top-ten tenants, at the REIT’s distribution property located at 5166 Pleasant Hill Drive, Memphis, Tennessee. The original lease term, set to expire on May 31, 2016, has been renewed for a period of three years, expiring May 31, 2019 with contractual rent on renewal increasing 2.4% on a per square foot basis. In connection with the lease renewal, the tenant has the right to terminate in May 2017, with six months prior notice and payment of a termination penalty.
Built in 2001, the 5166 Pleasant Hill Drive property features a 32-foot clear ceiling height, ESFR sprinkler system, T-5 lighting and ample dock doors and trailer / auto parking.
“With no capital costs to the REIT and a three-year lease extension, we are excited to retain a valuable top-ten tenant who we see as a long-term occupant in this building,” commented Scott Frederiksen, Chief Executive Officer of the REIT.
About WPT Industrial Real Estate Investment Trust:
WPT Industrial Real Estate Investment Trust is an unincorporated, open-ended real estate investment trust established pursuant to a declaration of trust under the laws of the Province of Ontario. The REIT has been formed to own and operate an institutional-quality portfolio of primarily industrial properties located in the United States, with a particular focus on warehouse and distribution industrial real estate. WPT Industrial, LP (the REIT’s operating subsidiary) indirectly owns a portfolio of properties consisting of approximately 15.1 million square feet of gross leasable area comprised of 46 industrial properties and two office properties located in thirteen states within the United States.
This press release contains “forward-looking information” as defined under applicable Canadian securities law (“forward-looking information” or “forward-looking statements”) which reflect management’s expectations regarding objectives, plans, goals, strategies, future growth, results of operations, performance, business prospects and opportunities of the REIT. The words” plans”, “expects”, “does not expect”, “scheduled”, “estimates”, “intends”, “anticipates”, “does not anticipate”, “projects”, “believes” or variations of such words and phrases or statements to the effect that certain actions, events or results “may”, “will”, “could”, “would”, “might”, “occur”, “be achieved” or “continue” and similar expressions identify forward-looking statements. Some of the specific forward-looking statements in this press release include, but are not limited to, statements with respect to: financing proceeds for the acquisition, expectations regarding accretion to the REIT’s AFFO per unit and the effect of the acquisition on the REIT’s payout ratio; and the expected capitalization rate for the acquired properties. Forward-looking statements are necessarily based on a number of estimates and assumptions that, while considered reasonable by management of the REIT as of the date of this press release, are inherently subject to significant business, economic and competitive uncertainties and contingencies. The REIT’s estimates, beliefs and assumptions, which may prove to be incorrect, include the various assumptions set forth herein, including, but not limited to, the REIT’s and each property’s future growth potential, results of operations, future prospects and opportunities, the demographic and industry trends remaining unchanged, no change in legislative or regulatory matters, future levels of indebtedness, the tax laws as currently in effect remaining unchanged, the continual availability of capital, the current economic conditions remaining unchanged, and continued positive net absorption and declining vacancy rates in the markets in which the REIT’s properties are located.
When relying on forward-looking statements to make decisions, the REIT cautions readers not to place undue reliance on these statements, as forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results and will not necessarily be accurate indications of whether or not the times at or by which such performance or results will be achieved. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements, including, but not limited to, the factors discussed under “Risk Factors” in the REIT’s annual information form for the year ended December 31, 2015, which is available under the REIT’s profile on SEDAR at www.sedar.com. These forward-looking statements are made as of the date of this press release and, except as expressly required by applicable law, the REIT assumes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
SOURCE WPT Industrial Real Estate Investment Trust