WASHINGTON, Dec. 20 /PRNewswire-FirstCall/ - CarrAmerica Realty
Corporation (NYSE: CRE) today announced that it has sold First Street
Technology Center in San Jose, California, to RAE Systems, Inc. Located at
3745 North First Street, the 67,582 square foot building is currently vacant.
The property was sold for $5.0 million.
(Logo: http://www.newscom.com/cgi-bin/prnh/19990820/CRELOGO
As a result of this sale, CarrAmerica will recognize an impairment charge
of approximately $2.2 million in the fourth quarter of 2004, reflecting its
loss on the sale of the property. The $2.2 million charge will decrease
fourth quarter diluted earnings per share and diluted Funds from Operations
available to common shareholders (Diluted FFO) by $.04 per share. The Company
previously announced on November 3, 2004, its entry into an agreement to sell
the property and the amount and impact of the impairment charge assuming the
sale was finalized. As the Company announced at that time, the impact of this
impairment charge was not included in the Company's earnings guidance for the
fourth quarter and full year 2004.
CarrAmerica Managing Director for Northern California, Christopher
Peatross, commented, "The sale of 3745 North First Street demonstrates our
continued focus on Class A assets in the San Francisco Bay Area as we
reallocate the capital from this property into new investments in the market."
Mr. Peatross continued, "In 2004, we have acquired eight Class A office
buildings totaling $198.9 million in Silicon Valley."
CarrAmerica owns, develops and operates office properties in 12 markets
throughout the United States. The company has become one of America's leading
office workplace companies by meeting the rapidly changing needs of its
customers with superior service, a large portfolio of quality office
properties and extraordinary development capabilities. Currently, CarrAmerica
and its affiliates own, directly or through joint ventures, interests in a
portfolio of 294 operating office properties, totaling over 26 million square
feet. CarrAmerica's markets include Austin, Chicago, Dallas, Denver, Los
Angeles, Orange County, Portland, Salt Lake City, San Diego, San Francisco Bay
Area, Seattle and metropolitan Washington, D.C. For additional information on
CarrAmerica, including space availability, visit our web site at
http://www.carramerica.com.
Certain statements in this release may constitute "forward-looking
statements" within the meaning of the Private Securities Litigation Reform Act
of 1995 (the "Reform Act"). Such forward-looking statements involve known and
unknown risks, uncertainties and other factors that may cause the actual
results, performance, dividends, achievements or transactions of the Company
and its affiliates or industry results to be materially different from any
future results, performance, achievements or transactions expressed or implied
by such forward-looking statements. Such factors include, among others, the
following: national and local economic, business and real estate conditions
that will, among other things, affect demand for office properties, possible
charges or payments resulting from our guarantee of certain leases of HQ
Global Workplaces, Inc., the ability of the general economy to recover timely
from the current economic downturn, availability and creditworthiness of
tenants, the level of lease rents and the availability of financing for both
tenants and the Company, adverse changes in the real estate markets including,
among other things, competition with other companies, risks of real estate
acquisition and development (including the failure of pending acquisitions to
close and pending developments to be completed on time and within budget or
the failure of any property acquired or developed to perform as expected),
actions, strategies and performance of affiliates that the Company may not
control or companies in which the Company has made investments, our ability to
maintain our status as a REIT for federal income tax purposes, governmental
actions and initiatives, and environmental/safety requirements. For a further
discussion of these and other factors that could impact the Company's future
results, performance, achievements or transactions, see the documents filed by
the Company from time to time with the Securities and Exchange Commission, and
in particular the section titled, "The Company -- Risk Factors" in the
Company's Annual Report on Form 10-K.
SOURCE CarrAmerica Realty Corporation
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Related links:
http://www.carramerica.com
Photo Notes:
NewsCom:
http://www.newscom.com/cgi-bin/prnh/19990820/CRELOGO
AP Archive: http://photoarchive.ap.org
PRN Photo Desk, photodesk@prnewswire.com
CONTACT:
Media: Karen Widmayer, +1-202-729-1789,
karen.widmayer@carramerica.com, or Analysts: Stephen Walsh,
+1-202-729-1764, stephen.walsh@carramerica.com, both of
CarrAmerica Realty Corporation
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