Mar 29, 2005 : Digital Realty Trust Buys Facilities

📅 March 29, 2005 - Digital Realty Trust (digitalrealtytrust.com) announced on Monday that it has acquired two properties for a combined total purchase price of $74.6 million, which includes the assumption of $9.7 million of debt. The properties are located in Philadelphia, Pennsylvania and St. Paul, Minnesota. The 15-story Philadelphia property is a multi tenant technology office building that comprises of 654,758 square feet, including 107,563 square feet of vacant space in shell condition available for re-development. It was purchased for approximately $59 million at an initial year un-leveraged cash cap rate of approximately 10.2 percent.
 The single story St. Paul property is an office and data center that comprises of 88,134 square feet. It was purchased for approximately $15.6 million, including the assumption of $9.7 million of debt, at an initial year un-leveraged cash cap rate of approximately 9 percent. "The addition of these properties broadens our geographic reach, enhances the overall quality of our portfolio, and improves the credit quality of our tenant base," says Digital Realty Trust CEO Michael Foust. "In Philadelphia, we have a good opportunity to lease up the redevelopment space for either data center or specialized laboratory use."