American Realty Capital Locks Up Another REIT

American Realty Capital Properties Inc. locked up another REIT.

New York based real estate investment trust CapLease Inc. announced late yesterday that the acquisition deal, approved in September, had closed, ending trading of the New York Stock Exchange-listed firm.

Caplease’s site notes that the deal is effective today.

It has been an active fall for American Reality Capital, which, among other things, has been at the center of dustup over One Worldwide Plaza.  It recently won the right to proceed with negotiations to buy the building after ditching its partner, RXR Realty.  See XX.

ARC also has been in a big time acquisition mode.  In addition to yesterday’s closing, it has acquired two other REITS recently.  See XX. 

“Following the merger,” the site says, “CapLease’s senior management and origination teams joined ARCP and will be responsible for growing the company’s $4 billion single-tenant net lease office and industrial business. Now with an even stronger balance sheet, we are pursuing continued portfolio growth through both existing property acquisitions and our Construction to Acquisition Program, applying essentially the same underwriting standards that CapLease was built upon.”

The merger triggers a bunch of prorated cash dividends which were announced in September.  They will go to the holders of the old company’s common stock and limited partnership units.  In addition, three classes of preferred stock, all separately traded on the NYSE, will get payouts.  The payments are expected on or around Nov. 18.

According to a press release, Hunton & Williams was CapLease’s legal adviser; Wells Fargo Securities, and Houlihan Lokey Financial Advisors Inc. provided financial advisory services to the Company. Proskauer Rose LLP represented American Realty Capital Properties Inc.

comments powered by Disqus