Carter Validus Mission Critical REIT Sells Chicago Data Center for $315 Million

Carter Validus Mission Critical REIT Inc., a publicly registered non-traded real estate investment trust, has sold an approximately 250,000-square-foot data in the Chicago, Illinois metropolitan area for $315 million to an affiliate of Digital Realty Trust LP (NYSE: DLR).

The REIT originally purchased the Chicago Data Center in May 2014 for $211.7 million. The net book value of the property as held on the company’s balance sheet was approximately $227.3 million as of September 30, 2017.

The REIT repaid its mortgage loan associated with the property for approximately $105.1 million, including accrued interest. The net proceeds were approximately $206.9 million, after transaction costs.

“We are pleased with the price achieved in connection with selling the Chicago Data Center, which, we believe, represents a significant gain from our initial off-market purchase made in 2014,” said REIT president Michael Seton. “By investing additional capital, actively managing the asset and capitalizing on the growing data center market, we were able to deliver significant shareholder value with the sale of this asset.”

Carter Validus Mission Critical REIT invests in net leased data center and healthcare assets and oversees a portfolio of 84 properties (19 data center and 64 healthcare properties) purchased for approximately $2.1 billion. The company’s offering, which was declared effective by the SEC in December 2010, closed in June 2014 after raising more than $1.7 billion in investor equity.

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