NEW YORK, Nov. 16 /PRNewswire-FirstCall/ -- Lexington Strategic Asset Corp. ("LSAC"), a real estate company externally advised by a subsidiary of Lexington Corporate Properties Trust , announced that it acquired a build-to-suit aviation training facility in Whippany, New Jersey from Holder Properties, the developer of the facility, for a purchase price of approximately $24.4 million.
The facility has three-stories and contains approximately 76,400 net rentable square feet on an approximately 16.5-acre parcel of land. In addition to office space, the facility has a high bay area, which extends from the ground floor to the top of the third story, contains approximately 17,700 square feet and will house six flight simulators for pilot training.
The facility is 100% net leased to CAE SimuFlite for a term of 15 years. The obligations of CAE SimuFlite under the lease are unconditionally guaranteed by CAE, Inc.
In connection with the acquisition, LSAC obtained non-recourse first mortgage financing in the original principal amount of $16.9 million. The loan bears interest at a fixed rate of 6.298% and has a term to maturity of 15 years.
About LSAC
LSAC is a real estate company that invests directly and indirectly in general use properties with private or middle market type tenants, special purpose properties, non-U.S. properties located in the Americas with U.S. dollar denominated rent, and other specialized facilities or assets integral to the operations of its tenants.
LSAC is externally advised by LXP Advisory LLC, a subsidiary of Lexington Corporate Properties Trust. Lexington Corporate Properties Trust owns a substantial majority of the fully diluted outstanding shares of LSAC's common stock.
The information contained in this press release contains forward-looking statements. These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions. Certain factors could cause actual results and conditions to differ materially from those projected in these forward-looking statements.
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