Prime US REIT Buys Two US Properties, Raises US$80 Million

News about Prime US Reit

Prime US REIT is announcing the acquisition of two office buildings:

  • Sorrento Towers in San Diego, California, for US$146 million.
  • One Town Center in Boca Raton, Florida, for US$99.5 million.

Both properties are freehold and about 95% leased with WALE of over 6 years.

The trust has also just successfully done a private placement exercise of US$80 million to fund the acquisition, at a price of US$0.81 per new unit.

The operation is expected to be DPU accretive. The Investment Moat blog has a useful discussion about the transaction.

Prime US Reit
Price0.865 USD
NAV0.860 USD
Yield (4 quarters)7.80%
Gearing34.4%