Washington Real Estate Investment Trust Acquires 2440 M Street for $50.0 Million
ROCKVILLE, Md.--(BUSINESS WIRE)--
Washington Real Estate Investment Trust (WRIT) (NYSE: WRE) has acquired 2440 M Street, a Class A medical office building with a three-level parking garage in northwest Washington, D.C. for $50.0 million. 2440 M Street is well-positioned in the District's West End business district, just three blocks from George Washington University Hospital and 1 1/2 miles from Georgetown University Hospital.
The property is 96% leased to 49 tenants and consists of 110,000 net rentable square feet and 252 parking spaces. WRIT expects to achieve a first-year, unleveraged yield of 6.0% on a cash basis and 6.5% on a GAAP basis. The acquisition was funded with cash from operations and WRIT's line of credit.
2440 M Street presents an excellent opportunity for WRIT to invest in a Class A medical office building located in the District. The property received extensive renovation in 2006, which has positioned it to be the preeminent medical office building in Washington, D.C.
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 85 properties consisting of 14 retail centers, 25 general purpose office properties, 14 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
Released March 12, 2007