Non-traded hybrid REIT, MVP REIT, has recently acquired a 70.1% tenant-in-common interest in Tower Place Parking Garage in downtown Cincinnati, Ohio for a price of approximately $15 million.
The seven-story parking garage has 775 parking spaces and is located at 400 Race Street. The garage is connected to a 13-story mixed-use development that houses the Hyatt Regency Hotel and retail stores in its 520,000 square feet. The garage is also within walking distance of Paul Brown Stadium and Great American Ballpark.
“This garage benefits from its premium location in a well-visited area near major attractions, as well as its long-term net lease to a quality operator,” commented Mike Shustek, chairman and chief executive officer of MVP REIT.
The garage recently signed a 10-year lease with SP+, formerly known as Standard Parking. The SP+ brand operates approximately 4,200 parking facilities totaling more than 2.1 million parking spaces across hundreds of North American cities.
MVP REIT financed the acquisition through a 10-year, $9 million loan with a 4.25% fixed-rate.
The REIT’s $550 million offering is scheduled to close September 15, 2015.
MVP REIT focuses on investing in a diverse portfolio of real estate secured loans and direct investments in real property, with a concentration on parking facilities.
At the end of Q3 2014, the REIT raised about $31.7 million from the sale of its common stock, net of commissions.