BOSTON, April 18 /PRNewswire/ -- Cabot Industrial Trust (NYSE: CTR)
announced the formation of a joint venture program targeted toward investing
in valued-added, industrial, workspace properties. The investors have
committed approximately $44 million in equity to the venture of which 80% will
be funded by Chase Capital Partners (CCP). When fully capitalized the program
could exceed $100 million. Cabot is the operating partner and will be paid
acquisition, development, asset management and property management fees for
services it provides to the venture.
(Photo: http://www.newscom.com/cgi-bin/prnh/20000218/CABOTLOGO )
The venture has closed on its first acquisition, a 131,172 square foot
research and development property in San Jose, California, which is 100%
leased to 5 tenants. The property was acquired for $12.5 million or $95 per
square foot.
Ferdinand Colloredo-Mansfeld, Chief Executive Officer of Cabot Industrial
Trust, "CCP has established a reputation as a world renowned venture investor.
We are pleased to partner with them to pursue attractive opportunities in the
industrial sector. This program demonstrates our commitment to growing Cabot
Industrial Trust's investment advisory business in a manner that is
complementary to the Trust."
Patrick Sullivan, General Partner at CCP, commented, "We selected Cabot
Industrial Trust as a partner because their focus and experience in the
industrial sector and specifically with workspace properties was particularly
attractive to us. Cabot's record shows that these properties have strong rent
growth potential. Further, Cabot has a proven acquisitions capability with an
ability to source opportunities on a national basis and process many small
transactions which can be obtained on more favorable terms."
Franz Colloredo-Mansfeld, Chief Financial Officer of Cabot Industrial
Trust, noted that "This program with Chase will allow us to preserve our
strong capital structure, continue to increase our return on capital and
broaden our sources of income."
Cabot Industrial Trust is a fully integrated real estate company, with
offices in Boston, Atlanta, Baltimore, Chicago, Cincinnati, Dallas, Los
Angeles, Orlando and Phoenix, which specializes in the ownership, acquisition,
and development of industrial properties. As of March 31, 2000, it owns 337
properties containing approximately 40 million square feet in 22 states. The
Company also manages an additional 10 million square feet of property for
investment advisory accounts. Cabot Industrial Trust focuses on a broad
spectrum of industrial property types nationwide including large bulk
distribution facilities, multitenant distribution facilities and workspace
properties.
CCP is a global private equity partnership with over $15 billion under
management. CCP has been a leading provider of private equity capital since
its inception in 1984 and is a diversified investor with significant interests
in most major industries. To date, CCP has closed more than 950 individual
transactions in North America, Europe, Asia and Latin America. CCP's real
estate group has invested over $400 million in real estate-related enterprises
since 1998. CCP's primary limited partner is The Chase Manhattan Corporation,
one of the largest bank holding companies in the United States. For more
information, please visit CCP's web site at http://www.chasecapital.com.
In addition to historical information, this press release contains
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. These statements are based on management's
current expectations about the industry and the markets in which the Company
operates. Such forward-looking statements are not guarantees of future
performance and involve known and unknown risks, uncertainties or other
factors which may cause actual results, performance or achievements of the
Company to be materially different from any future results, performance or
achievements expressed or implied by such forward-looking statements. Actual
operating results may be affected by various factors including, without
limitation, changes in national and local economic conditions, competitive
market conditions, uncertainties and costs related to and the imposition of
conditions on receipt of governmental approvals and costs of material and
labor, all of which may cause such actual results to differ materially from
what is expressed or forecast in this press release.
To receive Cabot Industrial Trust's latest news releases and other
corporate documents please send requests via e-mail at ir@cabottrust.com or
visit our web site at http://www.cabottrust.com.
SOURCE Cabot Industrial Trust
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Related links:
http://www.chasecapital.com
http://www.cabottrust.com
Photo Notes:
NewsCom:
http://www.newscom.com/cgi-bin/prnh/20000218/CABOTLOGO
AP Archive: http://photoarchive.ap.org
PRN Photo Desk, 888-776-6555 or 201-369-3467
CONTACT:
Franz Colloredo-Mansfeld, Chief Financial
Officer of Cabot Industrial Trust, 617-723-0900
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