The properties are located in Washington, DC; Philadelphia; Boston;Sacramento; San Diego; Houston; Denver; Kansas City, KS; Providence,RI; Burlington, NJ; Norfolk, VA; Suffolk, VA and Huntsville, AL. According to a release, the acquisition fits in with UA's business plan calling for real estate investments with strong credit institutional tenants in major metropolitan markets.

UA was able to assume long-term debt in this deal, increasing the attractiveness of the 98.2%-leased portfolio, the release states. It was completed through UA's Fund II, which was launched with $300 million in 2005 in a partnership with Fisher Urban Associates. Tom Robinson of North Star Realty in Atlanta represented UA in the acquisition.

In a statement, Richmond McCoy, founding partner and CEO of UA, says the purchase represents "an excellent buy for our investors who are seeking core-plus assets consistent with our investment strategy for Fund II. Last year we refined our targeted deals to focus exclusively on strong credit and assumable debt. In addition, UrbanAmerica has had very good performance with our government leased asset investments. We have a strong asset management team with extensive government experience on both sides of the table as tenants and owners. CB Richard Ellis will continue to provide the property management and leasing services to UrbanAmerica, ensuring a smooth transition and continuity for our diversified government tenant roster."