VANCOUVER, May 22, 2014 /PRNewswire/ -- City Office
REIT, Inc. (NYSE: CIO), announced today that it entered into an
Agreement of Purchase and Sale to acquire Plaza 25 in Denver, Colorado for a purchase price of
$25.1 million. Plaza 25 is a three
building 197,000 square foot office property in the exclusive
Greenwood Village submarket. The
Property is currently 93% occupied and is anticipated to generate
an initial full-year cash net operating income yield of
approximately 8.1% based on the purchase price. The major
conditions to the acquisition have been satisfied and the
transaction is anticipated to close in early June 2014.
"We believe Plaza 25 represents an ideal first acquisition for
City Office REIT. It is located in Greenwood Village, one of Denver's top submarkets with proximity to
executive housing, a strong educated employee base and an abundance
of transportation networks including a light-rail station," said
James Farrar, Chief Executive
Officer of City Office REIT. "The property is situated with
Interstate 25 frontage and benefits from Greenwood Village's numerous amenities.
With its below market in-place rents and stable tenant base, we
believe that Plaza 25 will continue to benefit from Denver's strengthening leasing conditions and
deliver our investors increasing cash flow. City Office REIT
continues to review a strong pipeline of acquisition opportunities
within our target markets and we remain focused on growing our
portfolio and enhancing stockholder value."
About City Office REIT, Inc.
City Office REIT, Inc. is a real estate company focused on
owning high-quality office properties in attractive markets
primarily in the Southern and Western United States. City
Office REIT owns or has an interest in 1.85 million square feet of
office properties as of January 1,
2014. Additional information about City Office REIT is
available on the company's website at www.cityofficereit.com. The
Company intends to elect to be taxed as a real estate investment
trust (REIT) for U.S. federal income tax purposes.
Forward-looking Statements
This press release contains "forward looking statements" within
the meaning of the "safe harbor" provisions of the Private
Securities Litigation Reform Act of 1995 and other federal
securities laws. All statements that are not statements of
historical facts are, or may be deemed to be, forward looking
statements. Forward looking statements reflect our current
expectations concerning future results, objectives, plans and
goals, and involve known and unknown risks, uncertainties and other
factors that are difficult to predict and which may cause future
results, performance or achievements to differ. These risks,
uncertainties and other factors include factors described in our
news releases and filings with the Securities and Exchange
Commission. The Company does not have any obligation to
publicly update any forward looking statements to reflect
subsequent events or circumstances.
Contact
City Office REIT, Inc.
Anthony Maretic
+1-604-806-3366
investorrelations@cityofficereit.com
SOURCE City Office REIT, Inc.