MCLEAN, Va., Dec. 2, 2014 (GLOBE NEWSWIRE) -- Gladstone Commercial Corporation (Nasdaq:GOOD) (the "Company") reported today that it completed a $5.6 million, build-to-suit expansion of its existing industrial building in Canton, NC, which is occupied by a large multinational manufacturing company.
The Company worked with the tenant to expand the property to accommodate the tenant's consolidation of manufacturing operations into the Canton, NC property. This project expanded the property by 150,000 square feet to a total of 378,000 square feet. At completion, the tenant executed a lease amendment extending the lease term on the property to twenty (20) years and resetting the expiration date to September 30, 2034. The initial cap rate on the expansion is 9.5% and the average cap rate on the expansion is 11.5%.
"This project is a great example of how we can work with our existing tenants to accommodate their changing business needs. Our tenant approached us and asked for help in consolidating their operations into the Canton, NC facility. We offered a solution and executed the expansion with no disruption to the tenant's operations," said Matt Tucker, Managing Director of the Company. "This project is a positive for all parties involved. We met our tenant's needs while providing very good risk adjusted returns for our shareholders."
Gladstone Commercial's real estate portfolio consists of 94 properties located in 23 states, totaling approximately 10.0 million square feet.
For more information regarding Gladstone Commercial's build-to-suit and expansion capabilities, or its activity in the Mid-Western and Northeastern U.S., please contact Matt Tucker at email@example.com.
Gladstone Commercial Corporation is a real estate investment trust (REIT) that invests in and owns net leased industrial, commercial and retail real property. Additional information can be found at www.gladstonecommercial.com.
For Investor Relations inquiries related to any of the monthly dividend paying Gladstone funds, please visit www.gladstone.com.
CONTACT: Gladstone Commercial Corporation +1-703-287-5893
Source:Gladstone Commercial Corporation