ATLANTA--(BUSINESS WIRE)--
Cousins Properties Incorporated (NYSE: CUZ) has completed the following
series of off-market transactions:
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Purchased the remaining 80% interest in Terminus 200 from a fund
managed by Morgan Stanley Real Estate Investing.
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Subsequently formed a 50%/50% joint venture with institutional
investors advised by J.P. Morgan Asset Management for both Terminus
100 and Terminus 200, neighboring Class-AA office towers in Atlanta’s
Buckhead submarket.
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Purchased a 100% interest in Post Oak Central, a Class-A office
complex in the Galleria submarket of Houston, from institutional
investors advised by J.P. Morgan Asset Management.
The off-market transactions provide Cousins with an attractive entry in
Houston’s Galleria submarket and the retention of a substantial
ownership interest in the Terminus office towers in Atlanta. Cousins’
net investment is expected to be approximately $206 million, after a new
non-recourse mortgage for Terminus 200 is secured. The Company funded
the transactions using proceeds from recent non-core asset sales.
Larry Gellerstedt, President and Chief Executive Officer of Cousins,
noted, “The Post Oak Central transaction is an outstanding fit with our
ongoing strategy of acquiring quality urban office towers in the best
Sun Belt submarkets at valuations below replacement cost. This
investment also provides a rare combination of a significant future
development opportunity and an attractive in-place yield.”
Gellerstedt added, “It’s very exciting to affirm our confidence in the
steadily improving Buckhead submarket with the Terminus 100 and 200
transactions. Furthermore, our joint venture with J.P. Morgan Asset
Management ensures that both towers will continue to reap the benefits
of top-notch sponsorship.”
Key highlights of the Post Oak Central transaction:
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Three Class-A towers comprising 1.3 million square feet.
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Purchase price of $232.6 million, or $182 per square foot.
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A two-acre development parcel with frontage on Post Oak Central
Boulevard was included in the purchase.
Key highlights of the Terminus transactions:
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Two Class-AA towers comprising 1.2 million square feet.
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Terminus 100 was attributed a value of $209.2 million, or $320 per
square foot.
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Terminus 200 was attributed a value of $164.0 million, or $290 per
square foot.
A detailed overview of the transactions can be found on Cousins’
website: www.cousinsproperties.com.
Cousins Properties Incorporated is a leading diversified real estate
company with extensive experience in acquisition, financing, management
and leasing. Based in Atlanta, the Company actively invests in office
and retail projects. Since its founding in 1958, Cousins has developed
20 million square feet of office space, 20 million square feet of retail
space, more than 3,500 multi-family units and more than 60 single-family
neighborhoods. The Company is a fully integrated equity real estate
investment trust (REIT) and trades on the New York Stock Exchange under
the symbol CUZ. For more, please visit www.cousinsproperties.com.
Certain matters discussed in this press release, such as the value
creation potential and planned repositioning of the property and
securing a non-recourse mortgage loan (including loan amount), are
forward-looking statements within the meaning of the federal securities
laws and are subject to uncertainties and risk and actual results may
differ materially from projections. Readers should carefully reviewthe
risk factors described in Part I, Item 1A of the Company’s Annual Report
on Form 10-K for the year ended December 31, 2011 and other documents
Cousins files from time to time with the Securities and Exchange
Commission. Such forward-looking statements are based on current
expectations and speak as of the date of such statements. Cousins
undertakes no obligation to publicly update or revise any
forward-looking statement, whether as a result of future events, new
information or otherwise.
Cousins Properties Incorporated
Cameron Golden, 404-407-1984
Vice
President of Investor Relations and Corporate Communications
camerongolden@cousinsproperties.com
Source: Cousins Properties Incorporated