The portfolio is approximately 94% leased to multiple tenants, with lease terms ranging from 36 months to 12 years. A source with IRET tells GlobeSt.com that the vacancy is "pretty much portfolio wide." The acquisition increases IRET's office portfolio by about 25%, to 65 office properties comprising approximately 4.7 million leasable sf from 56 office properties containing approximately 3.8 million sf.

The Magnum Portfolio is comprised of the following properties:

• Pacific Hills, an approximately 143,061-sf (rentable) office complex consisting of three multi-story and two single-story buildings located at 120th and Pacific Street, Omaha;
• Corporate Center West, an approximately 141,724-sf (rentable), office complex consisting of three two-story buildings located at Old Mill Road in Omaha;
• Farnam Executive Center, an approximately 94,832-sf (rentable) five-story office building located at Farnam Drive in Omaha;
• Miracle Hills One, an approximately 84,475-sf (rentable), five-story office building located at Miracle Hills Drive in Omaha;
• Woodlands Plaza IV, an approximately 60,942-sf (rentable), three-story office building located on Borman Drive in St. Louis;
• Riverport, an approximately 122,567-sf (rentable), three-story office building located on Riverport Drive in Maryland Heights, MO;
• Timberlands, an approximately 90,315-sf (rentable), three-story office building located at West 114th Street in Leawood, KS;
• Flagship, an approximately 138,825-sf (rentable), four-story office building located on Prairie Center Drive in Eden Prairie, MN; and
• Gateway Corporate Center, an approximately 59,827-sf (rentable), two-story office building located on Bielenberg Drive in Woodbury, MN.
• IRET funded the acquisition price in part by drawing the entire $122.61 million available for borrowing under a loan from Citigroup Global Markets Realty Corp. Most of the funds, about $89.42 million, were used to repay existing indebtedness on the portfolio and certain closing costs and expenses in regard to the acquisition and the loan. The portion of the Citigroup Global Markets Realty Corp. funds not used for the purchase will be used "for commercial purposes," according to SEC filings.

In addition to the loan, IRET Properties, a subsidiary through which IRET conducts substantially all of its business and owns substantially all of its assets, issued $59 million of partnership units to the selling entities of the Magnum Portfolio. These limited partnership units--5.9 million units at $5.90 per unit--become redeemable for cash, or, at IRET's election, for IRET's common shares of beneficial interest on a one-to-one basis, beginning two years from their issuance under the terms of IRET Properties' limited partnership agreement.