Capri EGM Financing Western PA Distribution Facility for Philips Respironics

Rendering of Philips Respironics distribution center being build in East Huntington Township, PA

EAST HUNTINGTON TOWNSHIP, PA— Chicago-based Capri EGM , an investment company specializing in corporate sale leaseback and build-to-suit financing, and the acquisition of institutional quality single-tenant office, industrial, and retail net lease properties, is providing build-to-suit financing and will acquire the build-to-suit distribution facility being built for the Philips Respironics subsidiary of Dutch company Koninklijke Philips. The purchase price for the 260,000 square foot property was not disclosed. The Philips distribution facility is located southeast of Pittsburgh in an industrial park within East Huntington Township, Westmoreland County, PA close to Philips’ manufacturing facility and 32-acre main campus. “This build-to-suit structure and acquisition of the Philips Distribution Facility highlights how Capri EGM’s ability to work with developers early in a process to structure a solution that works for all parties makes us an attractive alternative source of long-term capital for developers and creditworthy growing companies,” says Shelby E. L. Pruett , Capri EGM’s co-chairman and chief executive officer. “By unlocking value through creative structuring and capital efficiency, we are committed to building long-term value for our institutional and corporate partners. The acquisition and build-to-suit afford Capri EGM the opportunity to invest in assets that are consistent with our established strategy, providing durable cash flows, escalating annual rents, and attractive risk-adjusted returns over time and across a variety of market conditions and economic cycles. Coupled with the long-term leases and the financial strength of Philips , we believe that this build-to-suit and acquisition will be an attractive and a solid addition to the Capri EGM portfolio.” As a global leader in the sleep and respiratory markets, Philips Respironics offers innovation in sleep apnea management, oxygen therapy, noninvasive ventilation, and respiratory drug delivery. The new build-to-suit consolidates the operations of five existing area locations into one efficient facility. The long-term net lease includes contractual annual increases and provides for future expansion. The build-to-suit site was selected by Philips and is strategically located to connect and serve the Philadelphia, Pittsburgh, Columbus, and Indianapolis markets.