Glenborough Sells D.C. Joint Venture Property
July 10 2006 - 8:01AM
Business Wire
Glenborough Realty Trust (NYSE:GLB)(NYSE:GLB.PrA) through one of
its joint ventures, sold 2000 Corporate Ridge, a 256,000 square
foot class "A" single-tenant office building in McLean, Virginia
for $79.1 million. The venture purchased the property in December
2000. Glenborough's share of the gain from the June sale was
approximately $10.0 million and the venture generated an internal
rate of return in excess of 20% to all investors. The sale was
prompted by multiple expansions and a lease extension by the major
tenant which converted the formerly multi-tenant building to a
single tenant property. Andrew Batinovich, President and Chief
Executive Officer commented, "Hopefully the success of this venture
will aid us in growing our joint venture business, which is an
important part of our growth going forward. We also believe this
sale and its 5.9% cap rate shows the value in our Washington, D.C.
portfolio, which at 27% of our net operating income, is our largest
market." Glenborough is a REIT which is focused on owning high
quality, multi-tenant office properties concentrated in Washington
D.C., Southern California, Northern New Jersey, Boston and Northern
California. The Company has a portfolio of 45 properties
encompassing approximately 8 million square feet as of March 31,
2006. FORWARD LOOKING STATEMENTS: Certain statements in this press
release are forward-looking statements within the meaning of the
federal securities laws including without limitation statements
concerning plans, objectives, goals, strategies, expectations,
intentions, projections, developments, future events, performance
or products, underlying assumptions, and other statements which are
other than statements of historical facts. In some cases, you can
identify forward-looking statements by terminology such as "may,"
"will," "should," "expects," "intends", "plans," "anticipates,"
"contemplates," "believes," "estimates," "predicts," "projects,"
"potential", "continue," and other similar terminology or the
negative of these terms. These forward-looking statements include,
without limitation: -- The impact of the outcome of the 2000
Corporate Ridge joint venture on the growth and/or success of
future Glenborough joint venture initiatives; -- The importance of
the future Glenborough joint venture business to any future company
growth; -- The usefulness of the application of the 2000 Corporate
Ridge sale's cap rate and related information on the valuation of
other Glenborough real property assets in its Washington, D.C.
portfolio. Because these forward-looking statements involve risk
and uncertainty, there are important factors that could cause our
actual results to differ materially from those stated or implied in
the forward-looking statements. These important factors include: --
Our ability or inability to identify and enter into suitable joint
venture investments; -- The impact of our past joint venture
activity upon potential joint venture partner decisions and
strategies; -- What factors will impact third party valuation of
the Glenborough Washington, D.C. portfolio, and how such factors
will vary over time in response to local and/or national real
property market conditions. Given these uncertainties, readers are
cautioned not to place undue reliance on such statements. All
forward-looking statements are based on information available to us
on the date hereof and we assume no obligation to update or
supplement any forward-looking statement. Additional information
concerning factors that could cause results to differ can be found
in our filings with the SEC including our report on Form 10-K for
the year ended December 31, 2005, and our quarterly reports on
forms 10-Q for the periods ended June 30, 2005, September 30, 2005
and March 31, 2006.
Glenborough (NYSE:GLB)
Historical Stock Chart
From May 2024 to Jun 2024
Glenborough (NYSE:GLB)
Historical Stock Chart
From Jun 2023 to Jun 2024