MVP REIT Forms Partnership to Acquire Portfolio of Parking Facilities

LAS VEGAS-MVP REIT Inc. has completed the first acquisition in a $13.5 million, six parking facility portfolio. The downtown Fort Lauderdale, FL property is an approximately 0.75-acre parking lot acquired for $3.4 million. Located at 208 SE 6th Street, the 32,750-square-foot site includes a 66-space car lot and 4,017-square-foot office building directly across from the Broward County Courthouse. “Parking facilities generate more than $20 billion in cash flow nationwide, according to the International Parking Institute,” said Mike Shustek, chairman and CEO of MVP REIT. “Their relatively low cost of capital, minimal labor expense and ability to respond quickly to inflation make them attractive investments.” MVP REIT and Vestin Realty Mortgage II Inc. formed a limited liability company to purchase the parking lot, which is owned 68 percent by Vestin and 32% by MVP REIT. Percentages were based on their capital contributions. MVP REIT and Vestin have also formed limited liability companies to acquire the additional five parking facilities. The ownership of those limited liability companies will be based on the capital contributions of each of Vestin and MVP REIT. The remaining five properties in the portfolio are expected to be acquired on or around September 10. The parking facilities are located in Baltimore, Md.; St. Louis and Kansas City, Mo.; and two in Memphis, TN. They are currently leased to operators under triple net leases.