NEW YORK ( TheStreet) - American Realty Capital Properties (ARCP - Get Report) rose in New York after the real estate investment trust said it would acquire American Realty Capital Trust IV in a $3.1 billion deal that will its portfolio of single-tenant retail properties.
New York-based American Realty Capital said that buying ARCT IV, which is a non-traded real estate investment trust managed by the buyer's executives, would give it a portfolio of 2,579 single-tenant properties spread across 48 states and net-leased to 470 tenants in 29 industries. The combination would generate about $527 million in rent annually, of which more than half will be from investment-grade tenants.
American Realty has been very active this year. The company since May has announced deals to acquire CapLease Inc. for $2.2 billion and two portfolios of retail properties from GE Capital Corp. for a combined $807 million. ARCT IV days later said it would buy a separate $1.45 billion GE Capital portfolio.
The REIT also earlier this year made an unsolicited $9.7 billion cash, stock and debt offer to acquire Cole Credit Property Trust III Inc. of Phoenix, an overture the target rejected.American Realty CEO Nicholas S. Schorsch noted in a statement that when all of the pending deals close, the company will have increased its enterprise value from $250 million in September 2011 to $10 billion, ranking as the second-largest net-lease REIT. "With this acquisition we continue to further diversify our asset and tenant base and increase our projected 2014