NEWTON, Mass.--(BUSINESS WIRE)--Office Properties Income Trust (Nasdaq: OPI) today announced that it has acquired a Class A net leased office building totaling 150,000 square feet on 16 acres located in Fort Mill, SC for $35.1 million, excluding closing costs. The property is 100% leased for more than 10 years and serves as corporate headquarters for RoundPoint Mortgage Servicing Corp., a wholly owned subsidiary of Freedom Mortgage Company, one of the nation’s largest full-service mortgage companies and a leader in Veterans Affairs and government-insured lending. The property was constructed in 2019 and is located along I-77 in what is considered suburban Charlotte, NC.
David Blackman, President and Chief Executive Officer of OPI, made the following statement:
“We are pleased to announce an acquisition that demonstrates the strategy behind our capital recycling program. Year to date we have generated approximately $110 million in proceeds from asset sales and are recycling a portion of that capital into a property that we believe will generate greater cash returns after capex than the properties sold. The acquisition of this recently constructed, Class A, single tenant, long term leased property in a growing market is indicative of our core investment criteria. We remain committed to continuing the execution of our capital recycling program as we move into 2021.”
Office Properties Income Trust is a real estate investment trust, or REIT, focused on owning, operating and leasing buildings primarily leased to single tenants and those with high credit quality characteristics such as government entities. OPI is managed by the operating subsidiary of The RMR Group Inc. (Nasdaq: RMR), an alternative asset management company that is headquartered in Newton, MA.
Warning Concerning Forward-Looking Statements
This press release contains statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other securities laws. Also, whenever OPI uses words such as “believe”, “expect”, “anticipate”, “intend”, “plan”, “estimate”, “will”, “may” and negatives or derivatives of these or similar expressions, OPI is making forward-looking statements. These forward-looking statements are based upon OPI’s present intent, beliefs or expectations, but forward-looking statements are not guaranteed to occur and may not occur. Actual results may differ materially from those contained in or implied by OPI’s forward-looking statements as a result of various factors. Forward-looking statements involve known and unknown risks, uncertainties and other factors, some of which are beyond OPI's control. For example:
- Mr. Blackman states that OPI believes the acquired property will generate greater cash returns than the assets OPI has sold during 2020. However, this property may not generate the expected returns.
- Mr. Blackman states that OPI remains committed to continuing the execution of its capital recycling program in 2021. However, OPI cannot be sure it will sell any properties it identifies for sale or what the terms of any sales may be nor that it will acquire replacement properties that improve its asset quality or its ability to increase its distributions to shareholders.
The information contained in OPI’s filings with the SEC, including under “Risk Factors” in OPI’s periodic reports, or incorporated therein, identifies other important factors that could cause OPI’s actual results to differ materially from those stated in or implied by OPI’s forward-looking statements. OPI’s filings with the SEC are available on the SEC's website at www.sec.gov.
You should not place undue reliance upon forward-looking statements.
Except as required by law, OPI does not intend to update or change any forward-looking statements as a result of new information, future events or otherwise.
A Maryland Real Estate Investment Trust with transferable shares of beneficial interest listed on the Nasdaq.
No shareholder, Trustee or officer is personally liable for any act or obligation of the Trust.