CNL’s Global Income Trust Completes Sale of Assets to Griffin Capital REIT
Griffin Capital Essential Asset REIT Inc., a publicly registered non-traded real estate investment trust, purchased a three-property portfolio from Global Income Trust, Inc., a non-traded REIT sponsored by CNL Financial Group LLC. According to documents filed by the seller with the Securities and Exchange Commission, the purchase price was approximately $93.7 million.
As previously reported by The DI Wire, the sale of the three properties marks the liquidation and dissolution of CNL’s Global Income Trust. The sale resulted in net cash proceeds to Global Income Trust of approximately $38.6 million, which will be distributed to its stockholders. Stockholders will also receive an aggregate of $7.01 for each outstanding share of the company’s common stock.
The portfolio includes two single-tenant office properties at AllianceTexas, an 18,000-acre master-planned, mixed-use development in Fort Worth, Texas, and one single-tenant warehouse/distribution center in Jacksonville, Florida.
The AllianceTexas properties include a two-story, 119,001-square-foot facility fully leased to a global defense contractor. The second property is a three-story, 164,333-square-foot structure leased to Mercedes-Benz Financial Services USA LLC, one of the leading captive financial services providers and a financial services company of Daimler AG.
Griffin Capital considers these to be strategic acquisitions because of “the quality and business essential nature” of each of these assets for the tenants and location in Fort Worth which has been recognized as a fast-growing metropolitan area in the past decade. This region’s substantial economic and employment growth is fostered by the region’s pro-business climate.
The third asset in the portfolio, a warehouse/distribution center situated in Jacksonville, Florida within close proximity to the Port of Jacksonville, includes a cross-dock configuration, 40 foot clear heights and state-of-the-art racking and sortation equipment. The property is fully leased through November 2024 to Samsonite LLC, an international luggage manufacturer which utilizes the facility as its primary U.S. distribution center.
Commenting on the acquisition, Louis Sohn, Griffin Capital’s director of acquisitions, said, “We are pleased to acquire a portfolio of high-quality assets that are well diversified across a wide spectrum of characteristics including asset class, geography and underlying tenant industry.”
Griffin Capital Essential Asset REIT’s portfolio currently includes 76 office and industrial distribution properties totaling approximately 19.1million rentable square feet. The REIT’s sponsor is Griffin Capital Corporation, an investment and asset management company headquartered in Los Angeles. Griffin Capital and its affiliates own, manage, sponsor and/or co-sponsor a portfolio consisting of approximately 29.8 million square feet of space, located in 29 states, and 0.1 million square feet in the United Kingdom, representing approximately $5.1 billion in asset value.
