NEW YORK--(BUSINESS WIRE)--Gramercy Property Trust (NYSE:GPT), a real estate investment trust, announced today that it sold a 75% interest in a portfolio of six office assets valued at $187.5 million, or $191 per square foot, to TPG Real Estate. The portfolio had a weighted average remaining lease term of 3.6 years at closing weighted by square footage. The assets are located in the Los Angeles MSA, San Francisco Bay Area, the San Diego MSA, Nashville and Minneapolis.
The portfolio was sold into a newly formed $400 million equity partnership with capital partner TPG Real Estate in which the Company will retain a 25% interest. The partnership, Strategic Office Partners, will be initially financed with a $200 million non-recourse secured credit facility from an institutional lender as well as equity from the Company and TPG Real Estate.
Following this sale, the Company has disposed of approximately $1.4 billion of non-core assets in 2016. The interest in the portfolio was sold for an exit cap rate of 9.5%. The year to date weighted average disposition cap rate for non-core asset sales is 6.9%.
About Gramercy Property Trust
Gramercy Property Trust is a leading global investor and asset manager of commercial real estate. The Company specializes in acquiring and managing single-tenant, net-leased industrial and office properties. The Company focuses on income producing properties leased to high quality tenants in major markets in the United States and Europe.
To review the Company’s latest news releases and other corporate documents, please visit the Company's website at www.gptreit.com or contact Investor Relations at 212-297-1000.