Washington Real Estate Investment Trust Acquires Woodholme Portfolio for $49.0 Million
ROCKVILLE, Md.--(BUSINESS WIRE)--
Washington Real Estate Investment Trust (WRIT) (NYSE:WRE) has acquired Woodholme Medical Office Building and Woodholme Center totaling 198,000 net rentable square feet and 844 parking spaces for $49.0 million. The acquisitions, located off the Baltimore Beltway (I-695) in the affluent Pikesville/Owings Mill submarket of Baltimore County, Maryland, expand WRIT's medical office portfolio with class A properties and establish a presence in the Baltimore market.
The properties are part of the Woodholme Center, a mixed-use development that also includes retail, restaurants, and a rehabilitation center. The portfolio is expected to achieve a first-year, unleveraged yield of 7.0% on a cash basis and 7.2% on a GAAP basis.
Woodholme Medical Office Building is a 97% leased, five-story MOB, containing 125,000 net rentable square feet and 567 parking spaces. Demand for medical space in the Woodholme area is driven by its proximity to Sinai Hospital--located 5 miles southeast, and Northwest Hospital--located 3 miles southwest.
Woodholme Center is a four-story class A office building, consisting of 73,000 net rentable square feet and 277 parking spaces. The building is 95% leased and primarily occupied by law and professional service firms. The property is ideally located near three major highways--the Beltway (I-695), the Northwest Expressway (I-795) and the Jones Falls Expressway (I-83)--and is accessible by public transportation.
WRIT will assume a $21.2 million loan with an interest rate of 5.29% and the remaining balance will be funded through our line of credit.
WRIT is a self-administered, self-managed, equity real estate investment trust investing in income-producing properties in the greater Washington/Baltimore metropolitan region. WRIT's dividends have increased every year for 36 consecutive years. WRIT's FFO per share has increased every year for 34 consecutive years. WRIT owns a diversified portfolio of 87 properties consisting of 14 retail centers, 26 general purpose office properties, 15 medical office properties, 23 industrial/flex properties, 9 multi-family properties and land for development. WRIT shares are publicly traded on the New York Stock Exchange (NYSE:WRE).
Certain statements in this press release are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve known and unknown risks, uncertainties, and other factors that may cause actual results to differ materially. Such risks, uncertainties and other factors include, but are not limited to, fluctuations in interest rates, availability of raw materials and labor costs, levels of competition, the effect of government regulation, the availability of capital, weather conditions, the timing and pricing of lease transactions, and changes in general and local economic and real estate market conditions.
Source: Washington Real Estate Investment Trust (WRIT)
Released June 1, 2007