July 11, 2013 (New York) – American Realty Capital
Properties, Inc. ("ARCP") announced a definitive merger
agreement to acquire all of the outstanding shares of American
Realty Capital Trust IV ("ARCT IV") in a $3.1 billion
transaction whereby ARCP will own 2,579 single tenant properties
net leased to 470 tenants across 29 industries in 48 states.
Proskauer served as counsel to ARCP and ARCT IV. The deal is
expected to close in the third quarter of 2013.
"This transaction enhances ARCP's scale and further
diversifies its tenant and asset base," said Peter M.
Fass, Proskauer Partner and co-head of
the firm's Real Estate Capital Markets Group. "Upon
closing, the combined entity will become the second largest net
lease REIT and have a well diversified real estate pool. Together
with the recently announced CapLease merger and portfolio purchase
from GE Capital and other organic acquisitions, ARCP will have an
enterprise value of $10 billion."
Earlier this year, the Group advised American Realty Capital Trust
IV in its acquisition of a net lease retail portfolio of properties
from General Electric Co's (GE) financial arm for $1.45
billion, and American Realty Capital Properties in a separate
purchase of a net lease retail portfolio from GE for $807 million.
In May, the Group advised on American Realty Capital Properties
merger agreement to acquire CapLease Inc. in a $2.2 billion
transaction. In March, the Group advised on American Realty Capital
Properties bid to acquire Cole Credit Property Trust III for $9.7
billion, as well as on American Realty Capital Properties
acquisition of American Realty Capital Trust III to become one of
the largest publicly traded REITs in the U.S., with a total
enterprise value exceeding $3 billion.
In addition to Peter Fass, the team includes Partners Daniel
Ganitsky (M&A) and Les Loffman (Tax); Special Tax Counsel Tim
Donovan (Tax); and Associates Mike Ellis (Corporate), Julie Kim
(Corporate), Adela Cho (Corporate), Leon Volchyok (Corporate),
Martha Rose (Corporate) and Raj Bandla (Corporate).
Proskauer's Real Estate Capital Markets Group is recognized for
its skill and experience. A pioneer in the use of innovative
structures and techniques and creative approaches for executing
highly complex transactions, the firm regularly counsels a premium
roster of clients – including REITs, investment banks, real
estate funds, hedge funds, institutional and specialty lenders,
sovereign wealth funds and pension advisers – across a broad
spectrum of transactions, ranging from public debt and equity
offerings and private placements, mergers and acquisitions and
mortgage and mezzanine financings and restructurings, to joint
ventures, distressed real estate and workouts and real estate
dispute matters.
American Realty is a publicly traded Maryland corporation listed on
The NASDAQ Global Select Market that qualified as a real estate
investment trust for U.S. federal income tax purposes for the
taxable year ended December 31, 2011, focused on acquiring and
owning single tenant freestanding commercial properties subject to
net leases with high credit quality tenants.
ARTICLE
21 July 2013
American Realty Capital Properties To Acquire American Realty Capital Trust IV in $3.1 Billion Transaction
July 11, 2013 (New York) – American Realty Capital Properties, Inc. ("ARCP") announced a definitive merger agreement to acquire all of the outstanding shares of American Realty Capital Trust IV ("ARCT IV") in a $3.1 billion transaction whereby ARCP will own 2,579 single tenant properties net leased to 470 tenants across 29 industries in 48 states.