American Assets Trust, Inc. Enters into Agreement to Acquire La Jolla Commons in San Diego, California
11 June 2019 - 6:01AM
American Assets Trust, Inc. (NYSE: AAT) (the “Company”) has entered
into an agreement to acquire La Jolla Commons, consisting of two
trophy office towers, an entitled development parcel and two
parking structures, located in the preeminent University Town
Center submarket of San Diego, California.
The two LEED platinum office towers at La Jolla
Commons were built in 2008 and 2014, respectively and total
approximately 724,000 square feet. One tower, consisting of
approximately 421,000 square feet, is 100% leased to credit-rated
LPL Financial. The other tower, consisting of approximately
303,000 square feet, is approximately 72% leased to such major
tenants as U.S. Bank National Association, Paul Hastings LLP and
Finch, Thornton & Baird LLP, among others.
La Jolla Commons is walking distance to a range
of high-end destination dining, high-scale retail and entertainment
and has the benefit of ready access to San Diego’s major freeways
and a soon to-be-completed Mid-Coast Trolley line.
The purchase price of $525 million, less a
seller credit of approximately $11.5 million, is expected to be
paid with a combination of cash on hand and funds drawn against the
Company’s existing credit facility.
The acquisition is subject to customary closing
conditions. The Company can offer no assurances that this
acquisition will close on the terms described herein, or at
all.
About American Assets Trust, Inc.
American Assets Trust, Inc. is a full service, vertically
integrated and self-administered real estate investment trust, or
REIT, headquartered in San Diego, California. The Company has
over 50 years of acquiring, improving, developing and managing
premier retail, office and residential properties throughout the
United States in some of the nation’s most dynamic,
high-barrier-to-entry markets primarily in Southern California,
Northern California, Oregon, Washington and Hawaii. The Company's
retail portfolio comprises approximately 3.1 million rentable
square feet, and its office portfolio comprises approximately 2.7
million square feet. In addition, the Company owns one
mixed-use property (including approximately 97,000 rentable square
feet of retail space and a 369-room all-suite hotel) and over 2,112
multifamily units. In 2011, the Company was formed to succeed
to the real estate business of American Assets, Inc., a privately
held corporation founded in 1967 and, as such, has significant
experience, long-standing relationships and extensive knowledge of
its core markets, submarkets and asset classes. For
additional information, please visit
www.americanassetstrust.com.
Forward Looking Statements
This press release may contain forward-looking statements within
the meaning of the federal securities laws, which are based on
current expectations, forecasts and assumptions that involve risks
and uncertainties that could cause actual outcomes and results to
differ materially, including, among others, risks and uncertainties
associated with the satisfaction of closing conditions related to
the Company’s pending acquisition of La Jolla Commons.
Forward-looking statements relate to expectations, beliefs,
projections, future plans and strategies, anticipated events or
trends and similar expressions concerning matters that are not
historical facts. In some cases, you can identify forward-looking
statements by the use of forward-looking terminology such as "may,"
"will," "should," "expects," "intends," "plans," "anticipates,"
"believes," "estimates," "predicts," or "potential" or the negative
of these words and phrases or similar words or phrases which are
predictions of or indicate future events or trends and which do not
relate solely to historical matters. While forward-looking
statements reflect the Company's good faith beliefs, assumptions
and expectations, they are not guarantees of future
performance. For a further discussion of these and other
factors that could cause the Company's future results to differ
materially from any forward-looking statements, see the section
entitled "Risk Factors" in the Company's annual report on Form 10-K
filed on February 15, 2019 and other risks described in documents
subsequently filed by the Company from time to time with the
Securities and Exchange Commission. The Company disclaims any
obligation to publicly update or revise any forward-looking
statement to reflect changes in underlying assumptions or factors,
of new information, data or methods, future events or other
changes.
Source: American Assets Trust, Inc.
Investor and Media Contact:
American Assets Trust
Robert F. Barton Executive Vice President and Chief Financial
Officer 858-350-2607
American Assets (NYSE:AAT)
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