REIT Acquires Large Kent Industrial Property

PS Business Parks, Inc. (NYSE: PSB) has acquired 212th Business Park, a 958,000-square-foot, eight-building industrial park for $37.6 million, or about $41 per square foot, from CBRE Global Investors.

The 44-acre park is located in the Kent Valley submarket of Seattle, WA on S 212th St. and 84th Ave. S in close proximity to Valley Fwy, the Seattle and Tacoma ports, and the SeaTac Airport. The properties were built in the 1960s with renovations approximately every 20 years. The eight buildings were just 53 percent occupied at the time of sale to 13 tenants averaging 38,600 square feet of occupied space each.

The acquisition was funded in part by cash and borrowings under the company’s existing credit facility. PS Business Parks is a self-advised and self-managed real estate investment trust (REIT) that focuses on multi-tenant flex, office and industrial space. As of June 2012 the company owned 27.2 million square feet in eight states.

Joseph D. Russell, Jr., president and CEO of PS Business Parks commented, “The design of the industrial buildings at 212th Business Park will enable PSB to offer prospective customers unit sizes that have broad appeal to smaller industrial users. Once the park is repositioned, PSB will provide a unique combination of flexible industrial spaces in a desirable business park centrally located within the vibrant Kent Valley submarket. We are pleased to enter this submarket to cater to a wide range of users from manufacturing, import/export, aerospace and technology sectors.”

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