NEW YORK, NY, August 1, 2006 - Investment firm W. P. Carey & Co. LLC (NYSE: WPC) announced today that it provided $10.5 million to an affiliate of EG Capital Group, LLC, a New York-based private equity firm that invests primarily in the consumer products industry, as part of its investment in CheeseWorks Inc., a leading distributor of gourmet, organic, natural and specialty food items.
W. P. Carey’s affiliated income generating real estate fund, Corporate Property Associates 16 - Global Incorporated (CPA®:16 - Global), acquired two CheeseWorks properties located in Ringwood, NJ and Alameda, CA, which serve as cold storage and distribution facilities, and leased them back to CheeseWorks under a long-term triple net lease.
Gino Sabatini, a Director at W. P. Carey, said, “We are pleased to have provided EG Capital with the financing it needed to make an investment in CheeseWorks. Our financing and partnership with EG Capital and CheeseWorks will enable both companies to pursue various growth opportunities in the specialty and natural food sectors.”
Jay Eastman, a Managing Director at EG Capital stated, “The CheeseWorks sale-leaseback was a key part of the overall transaction. The W. P. Carey team did an excellent job at executing the transaction in a tight timeframe, which provided a great outcome for all parties involved.”
EG CAPITAL GROUP, LLC
Founded in 2003, EG Capital Group, LLC, a New York-based private equity firm, focuses on buyouts of, and growth capital for, small and medium sized companies in the consumer products industry (e.g. food, beverage, personal care and household products, retail and restaurants) located in both the United States and Canada. www.egcapitalgroup.com
CHEESEWORKS INC.
Ringwood, NJ-based CheeseWorks Inc. sells a wide variety of high-end imported and domestic cheeses complemented by a broad offering of specialty food products. Since inception, CheeseWorks has developed the ability to source and distribute highly sought after products with best-in-industry service levels, making CheeseWorks one of the leading providers of high-end cheeses and specialty foods to the organic, natural and specialty retail and foodservice markets.
W. P. CAREY & CO. LLC
Founded in 1973, W. P. Carey & Co. LLC is a leading global real estate investment firm. The Company provides asset management services to its CPA® series of income generating real estate funds. With over $4 billion in equity capital, the W. P. Carey Group is one of the largest providers of net lease financing for corporations worldwide. The Group owns more than 700 commercial and industrial properties in 13 countries, representing over 95 million square feet, valued at more than $8 billion. www.wpcarey.com
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This press release contains forward-looking statements within the meaning of the Federal securities laws. A number of factors could cause the company’s actual results, performance or achievement to differ materially from those anticipated. Among those risks, trends and uncertainties are the general economic climate; the supply of and demand for office and industrial properties; interest rate levels; the availability of financing; and other risks associated with the acquisition and ownership of properties, including risks that the tenants will not pay rent, or that costs may be greater than anticipated. For further information on factors that could impact the company, reference is made to the company’s filings with the Securities and Exchange Commission.
