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Industrial Income Trust Completes $4.55 Billion Merger

Industrial Income Trust Inc., a publicly registered non-traded real estate investment trust, completed its merger with and into Western Logistics II LLC, an affiliate of Global Logistic Properties Limited, in an all cash transaction valued at approximately $4.55 billion.

Stockholders will be paid a cash distribution of $10.56 within five business days, as well as a distribution of units of beneficial interest of a liquidating trust. This distribution consists of $10.30 per share, $0.26 per share in cash to be funded through net borrowings by subsidiaries of the liquidating trust, and one unit of beneficial interest of the liquidating trust per share of IIT common stock held.

IIT transferred 11 properties that are under development or in the lease-up stage to a liquidating trust named DC Industrial Liquidating Trust. The units were distributed to current IIT stockholders, with one unit distributed for each share held. IIT estimates that an additional $0.56 per unit will be paid in cash when the properties are sold.

As previously reported by the DI Wire, upon the announcement of the merger agreement in July, the REIT estimated that its shareholders would receive up to $11.12 per share as total consideration. Shareholders paid $10 per share of the REIT in the initial public offering, and $10.40 per share in the follow-on offering.

Industrial Income Trust has built a national operating platform of distribution warehouses leased to creditworthy corporate customers. The company purchased its first property in June 2010, and through 2013, has raised approximately $2.2 billion in investor equity. The company’s real estate portfolio included 285 industrial buildings totaling approximately 58.4 million square feet located in 19 markets throughout the U.S.

Global Logistic Properties is a global provider of modern logistics facilities, which develops, owns and manages a 452 million-square-foot portfolio of logistics facilities across China, Japan, Brazil and USA that cater to domestic consumption. As of June 30, 2015, the company’s total assets under management totaled $29 billion.