Industrial Property Trust to Buy California Portfolio for $189 Million

Industrial Property Trust, a publicly registered non-traded real estate investment trust, signed four purchase agreements with a group of sellers to acquire 15 industrial buildings for approximately $189 million, exclusive of closing costs. The group of sellers includes LBA/MET Partners I-Company II LLC, LBA/MET Partners I-Company III LLC, LBA/MET Partners I-Company V LLC and LBA/MET Partners I-Company IX LLC.

The Golden State Industrial Portfolio totals approximately 1.4 million square feet on 81.5 acres. The 15 properties are located in the San Francisco Bay Area, Southern California, and Central Valley, California markets and are 100 percent occupied by 40 customers with a weighted-average remaining lease term of approximately 3.5 years.

Industrial Property Trust deposited $3.8 million into an escrow account, and expects to pay an acquisition fee to the advisor equal to 2 percent of the total purchase price. The REIT plans to fund the acquisition using proceeds from its public offering and borrowings from its corporate line of credit.

The acquisition of the Golden State Industrial Portfolio is expected to close during the fourth quarter of 2015.

As of September 30, 2015, Industrial Property Trust had acquired, either directly or through its 51 percent ownership interest in a joint venture partnership, 91 industrial buildings totaling approximately 13.2 million rentable square feet in 15 major industrial markets for an aggregate purchase price of approximately $1 billion.