BELLEVUE, Wash.–(BUSINESS WIRE)–Terreno Real Estate Company (NYSE: TRNO), a acquirer, owner and operator of industrial real estate in six major U.S. coastal markets, acquired industrial property in Hawthorne, California on August 2, 2022 for a purchase price of approximately $6.5 millions of dollars.
The improved 1.3 acre parcel of land at 4857 W 147e The street is adjacent to I-405 approximately four miles south of Los Angeles International Airport. The property is leased on a short-term basis through December 2022 and is slated for redevelopment with the construction of an approximately 33,000 square foot LEED-certified industrial distribution building. The estimated stabilized capitalization rate of the redeveloped property is 5.0% and the total expected investment is approximately $15.8 million.
Estimated stabilized capitalization rates are calculated as annualized net operating income on a stabilized cash basis at market occupancy (generally 95%) divided by the total acquisition cost. The total acquisition cost includes the initial purchase price, the effects of the market valuation of the debt assumed, buyer due diligence and closing costs, estimated short-term capital expenditures and rental costs necessary to achieve stabilization.
Terreno Realty Corporation acquires, owns and operates industrial real estate in six major US coastal markets: Los Angeles; Northern New Jersey/New York City; San Francisco Bay Area; Seattle; Miami; and Washington, D.C.
Additional information about Terreno Realty Corporation is available on the Company’s website at www.terreno.com.
Forward-looking statements
This press release contains forward-looking statements within the meaning of the federal securities laws. We caution investors that forward-looking statements are based on management’s beliefs and assumptions made by management and information currently available to it. When used, the words “anticipate”, “believe”, “estimate”, “expect”, “intend”, “may”, “could”, “plan”, “project” , “outcome”, “should”, “will”, “seek”, “target”, “see”, “probable”, “position”, “opportunity”, “prospects”, “potential”, “enthusiastic”, “ future” and similar expressions that do not relate solely to historical matters are intended to identify forward-looking statements. These statements are subject to risks, uncertainties and assumptions and are not guarantees of future performance, which may be affected by known and unknown risks, trends, uncertainties and factors beyond our control, including risks related to our ability to meet our estimated expectations related to stabilized capitalization rates, the impact of the COVID-19 pandemic on our business, our tenants and the national and local economies, and the risk factors contained in our Annual Report on Form 10-K for the year ended December 31, 2021 and our other public filings. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results could differ materially from those anticipated, estimated or projected. We expressly disclaim any responsibility to update our forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Accordingly, investors should exercise caution when relying on past forward-looking statements, which are based on results and trends at the time they are made, to anticipate future results or trends.
