FORT LAUDERDALE, Fla.--(BUSINESS WIRE)--Duke Realty Corporation (NYSE: DRE), a leading industrial, office and medical office property REIT, today announced that it has now closed on 43 of 56 properties recently acquired from Premier Commercial Realty. The 4.9 million-square-foot property portfolio, acquired for $450 million, consists of 51 bulk warehouse/distribution buildings and five office buildings.
The acquisition increases Duke Realty’s total holdings in South Florida to more than 7 million square feet, positioning the company as the largest owner of commercial/industrial space in both Broward County and Palm Beach County, Florida.
The properties are a combined 85.7 percent leased, and part of Duke Realty’s corporate strategy to increase its investment in industrial assets in higher-growth markets such as South Florida.
The remaining 13 assets from the Premier portfolio are expected to close by the end of the first quarter 2011, and are subject to the execution of debt assumptions and customary closing conditions.
"These closings signal Duke Realty’s long-term commitment to South Florida and our dominant industrial market position in Broward and Palm Beach counties,” said Ed Mitchell, Senior Vice President – South Florida.
Indiana-based Duke Realty now owns and operates more than 139 million rentable square feet of industrial and office space, including medical office space, in 18 major U.S. cities.
The company focuses on submarkets in which assets are land constrained, experiencing improving absorption, and will be key locations for future rental growth as demand for quality industrial space begins to outpace supply.
The properties that Duke Realty will own, manage and lease through this acquisition are:
Palm Beach County
|Copans Business Park||Premier Park of Commerce|
|Park Central Business Park||Premier Airport Center|
|Atlantic Business Center||Premier Gateway Center|
|Crossroads Business Park|
|Westport Business Park|
Prior to the purchase of Premier’s South Florida portfolio, Duke Realty had made a number of strategic acquisitions in the region during 2010. Among these are: two office buildings in Plantation totaling 465,592 square feet; two office buildings in Miramar totaling 222,600 square feet; and two 112,688-square foot industrial buildings in Pompano. In addition to the properties it acquired in 2010, Duke Realty owns, leases and manages four Class A buildings in Sunrise totaling 478,173 square feet and four in Weston totaling 388,112 square feet.
The acquisitions further advance Duke Realty’s strategy of increasing its investment in industrial properties in both existing markets and select new markets, where strong demographic trends or location indicate long-term grown opportunities and reduce its investment in suburban office properties in the Midwest.
Duke Realty's overall national asset composition was 42 percent industrial, 49 percent office, and 9 percent medical office and other at year-end 2010.
About Duke Realty
Duke Realty owns and operates more than 139 million rentable square feet of industrial and office, including medical office, space in 18 major U.S. cities. Duke Realty is publicly traded on the NYSE under the symbol DRE and is listed on the S&P MidCap 400 Index. More information about Duke Realty is available at www.dukerealty.com.