WP Carey Closes $87M Sale-Leaseback Deal

NEW YORK CITY-Locally based investment firm WP Carey & Co. LLC’s publicly held non-traded REIT affiliate, CPA(R):16-Global, and its newest fund, CPA(R):17-Global, have closed on the joint acquisition of three facilities from Berry Plastics Corp. for approximately $87 million. Benjamin Harris, head of Domestic Investments at WP Care, tells GlobeSt.com that the total square footage is 1.4 million.

The transaction follows a $33-million sale-leaseback CPA(R):15 completed with Berry Plastics in 2003 and includes its headquarters and largest production facility in Evansville, IN, a manufacturing facility in Baltimore, and a facility in Lawrence, KS. All facilities are being leased back to Berry Plastics on a long-term basis.

Harris tells GlobeSt.com that this is the third transaction that WP Carey has completed with Berry Plastics, and the proceeds were used to finance a small add-on acquisition that they closed in conjunction with the sale-leaseback. “The timing of the transaction was driven by this add-on acquisition, and was not impacted by market conditions.”