NEW YORK, Jan. 7, 2013 (GLOBE NEWSWIRE) -- Lexington Realty Trust ("Lexington") (NYSE:LXP), a real estate investment trust (REIT) focused on single-tenant real estate investments, announced the following update on fourth quarter transaction activity, some of which was previously announced.
T. Wilson Eglin, President and Chief Executive Officer of Lexington, stated, "During the fourth quarter, we completed new leases and lease extensions on approximately 5.7% of our portfolio and maintained high levels of occupancy, addressed near-term lease rollover and extended our weighted-average lease term. In addition, we continued and expect to continue to capitalize on accretive investment opportunities and take advantage of opportunities to lower our cost of capital by refinancing our maturing debts on advantageous terms."
Investment ActivityProperty Acquisitions and Completed Build-to-Suit Transactions A joint venture, in which Lexington has a minority position, acquired a newly-constructed 120,000 square foot retail property in Palm Beach Gardens, Florida for $29.8 million (9.8% initial cap rate), which is net-leased for a 15-year term. Lexington provided a $12.0 million non-recourse mortgage loan at closing. The 4%, interest-only mortgage loan matures in December 2017. Lexington acquired a 252,400 square foot office property in Phoenix, Arizona for $53.2 million (7.1% initial cap). The property is net-leased for a 17-year term. Lexington acquired 6.2 acres of land in Palm Beach Gardens, Florida for approximately $6.0 million. Lexington previously had been leasing the land and owns the multi-tenant improvements on the property. In the build-to-suit area, Lexington completed the 52,000 square foot build-to-suit retail property in Opelika, Alabama for approximately $8.3 million (9.4% initial cap rate). The property is net-leased for a 15-year term. Lexington closed on its forward commitment to acquire the 80,000 square foot build-to-suit office property in Eugene, Oregon for approximately $17.6 million (9.0% initial cap rate). The property is net-leased for a 15-year term.