The W. P. Carey Group Purchases Medical Facility and Two Manufacturing Properties
New York, NY – December 17, 2007 – Investment firm W. P. Carey & Co. LLC (NYSE:WPC) announced today that its publicly held, non-traded REIT affiliate, CPA®:16 – Global, has purchased one Texas medical facility and two manufacturing properties located in Illinois and Michigan for a total of approximately $13.5 million.
CPA®:16 – Global purchased a medical facility in Harlingen, Texas leased to Valley Diagnostic Clinic, P.A. (“VDC”), on a long-term basis. In the past twenty-five years, Harlingen has emerged as a center for health care in the Rio Grande Valley, one of the fastest growing areas of the United States. Founded in 1954, VDC is a group practice of 18 physicians that treat patients in multiple areas including internal medicine, cardiology, surgery, dermatology, urology, neurology, endocrinology, gastroenterology, radiology, and family practice.
“In the rapidly growing Rio Grande area, there is a great demand for healthcare facilities. The Valley Diagnostic Clinic has been filling that need for over 50 years,” said Chad Edmonson, Vice President at W. P. Carey. “W. P. Carey’s team was able to purchase the leased facility and continue renting it to the clinic with no disruption to the doctors or their patients. And, given that we are gaining a strong tenant and quality facility, it was a win-win situation.”
Pacific Press Technologies, L.P. is a manufacturer of capital equipment used in metal forming and plastic thermoforming. Owned by an affiliate of Chicago-based Madison Capital Partners, Pacific Press makes equipment purchased by a broad range of industries, including telecommunications, power transmission, shipbuilding, plastic packaging and home construction. CPA®:16 – Global purchased and is leasing back Pacific Press’ two Midwestern manufacturing facilities on a long term basis.
“We were tremendously excited to complete our first transaction with a Madison backed company,” said Gino Sabatini, Executive Director at W. P. Carey. “In the current credit environment, our ability to continue structuring transactions that meet the capital needs of the private equity community is a plus for us and our tenants.”
W. P. Carey & Co. LLC
Founded in 1973, W. P. Carey & Co. LLC is a leading global provider of long-term net lease financing for companies worldwide. With approximately $9.7 billion in assets and over $5 billion in equity capital, the Company and its CPA® series of income generating real estate funds specialize in helping companies and private equity firms realize the capital tied up in their real estate assets. The W. P. Carey Group owns more than 850 commercial and industrial properties in 14 countries, representing approximately 100 million square feet. www.wpcarey.com
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.
