A Government Properties Income Trust holding.
WASHINGTON, DC—Newton, MA-based Office Properties Income Trust has finalized its sale of a portfolio of 34 buildings in the suburban Metro DC area for $198.5 million, excluding closing costs. The 1.6-million square foot portfolio sale is part of the REIT's disposition plan to fund its $1.4 billion acquisition of First Potomac Realty Trust, which was purchased when under Government Properties Trust.
“When we purchased [First Potomac], we determined that we would sell a number of the acquired properties that had significant capex requirements or did not fit our long-term investment focus, and these properties comprise the majority of today's transaction,” said David Blackman, OPI's President and Chief Executive Officer.
Blackman added that including this sale, the REIT has sold $520.8 million of properties since the First Potomac acquisition. It also also now completed its disposition plan.
NKF Executive Managing Directors Jud Ryan, James Cassidy and Cris Abramson along with Senior Managing Director Brian Kruger represented Office Properties Income Trust in the transaction.
Last September OPI made its formal debut when Government Properties Income Trust and Select Income REIT entered a definitive agreement to merge to create a single REIT that will focus on the office asset class. The company changed its name to Office Properties Income Trust, or OPI, and was listed on the Nasdaq using the ticker symbol “OPI” for the company's common shares.
At the time of the announcement, OPI said that it expects to sell properties worth $750 million within six months after the merger closed.
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
