Net-Lease Lexington Buys 'Bama Distribution

MOODY, AL-Lexington Corporate Properties Trust has acquired a 595,346-sf, fully leased distribution facility here for just under $11.5 million. The New York-based net lease REIT financed 68% of the cost with a 10-year loan that bears an interest rate of just under 5%.

The newly constructed property is net leased to TNT Logistics North America Inc. through 2013. The lease is unconditionally guaranteed by the company’s parent, TNT Logistics Holdings BV.

Lexington VP Brendan Mullinex says the company has a preexisting relationship with TNT. He adds that the acquisition was “particularly attractive as a result of the price per square foot, long-term lease with a strong tenant and the favorable financing we arranged.”