Topics

Posted 9/21/2023, 11:52:25 AM

W.P. Carey Exiting Office Sector, Spinning Off and Selling Office Properties into New REIT

W.P. Carey plans to exit office sector by spinning off 59 office properties into new REIT and selling 87 other office properties.
Spinoff of new REIT Net Lease Office Properties expected to close around Nov 1, 2023. Asset sales to be completed by Jan 2024.
Move aims to enhance W.P. Carey's growth and cost of capital as office occupancy rates suffer amid hybrid work.
New REIT NLOP will assume $169M debt and get $455M credit facility from J.P. Morgan.
NLOP to transfer ~$350M to W.P. Carey in connection with the spinoff.

seekingalpha.com

Relevant topic timeline:

8/27/2023

Got $1,000 and Want to Bump Up Your Passive Income Stream? Check Out These 2 Real Estate Investments

Investing in specialized real estate investment trusts (REITs) like Medical Properties Trust and American Tower can provide a reliable stream of passive income through dividend payments.

9/10/2023

Long-Term Investor Remains Bullish on Realty Income Despite Recent Stock Drop

Realty Income, the first real estate investment trust (REIT) purchased by the author, has a strong history of market-beating performance, monthly dividend payments, and consistent increases in payout, despite its stock price declining by 20% over the past year.

9/21/2023

W.P. Carey to Spin Off Office Assets into New REIT and Sell Other Properties

W. P. Carey Inc. has announced plans to spin off 59 office properties into a separate publicly-traded REIT called Net Lease Office Properties (NLOP) and implement an asset sale program to dispose of the remaining 87 office properties by January 2024. These strategic moves are expected to enhance W. P. Carey's growth profile, improve its earnings and cash flows, and increase its overall portfolio quality.

9/21/2023

W.P. Carey Exits Office Properties as Remote Work Reduces Demand

Real estate investor W.P. Carey is exiting the office real estate market due to decreased demand caused by the rise in remote work during the pandemic, with plans to spin off some properties and sell the rest to lower costs and create long-term value for shareholders.

9/21/2023

W.P. Carey Sells Office Assets, Reduces Debt and Dividend to Refocus on Faster-Growing Industrial Properties

Real estate investment trust W. P. Carey Inc. plans to spin-off its office properties and "reset" the dividend to a lower level, damaging its dividend growth track record but still offering a attractive dividend yield and potential for improved growth in the future.

9/25/2023

W.P. Carey Rental Growth Soars Over 4% in Q2 as Inflation-Linked Leases Pay Off

W.P. Carey, a net lease real estate investment trust, has successfully mitigated the impact of inflation on its rental income through its inclusion of inflation-linked rent escalators in the majority of its leases, resulting in strong same-store rental growth even during periods of rapid inflation.

9/26/2023

W. P. Carey Slashes Dividend by 20%, Betraying Income Investors Who Valued Its Payouts

W.P. Carey's decision to cut its dividend and exit its office properties has led to a loss of trust from income investors and raises doubts about the quality of the company's remaining portfolio.

9/25/2023

W.P. Carey's New Strategic Plan Draws Criticism for Dividend Cut, High Costs

W.P. Carey's plan to spin off its office properties into a new REIT, Net Lease Office Properties (NLOP), and cut its dividend is a shortsighted and unnecessary move that will result in value destruction for shareholders.

10/5/2023

Realty Income Targets Medical Real Estate Sector for Growth, Providing 'Fuel' for Dividend Giant

Realty Income, a real estate investment trust (REIT), is targeting the $2 trillion consumer-centric medical real estate market as a key growth opportunity, expanding its portfolio and seeking consolidation within the sector to support its steadily rising dividend and long-term growth.

Topics

Posted 9/21/2023, 11:52:25 AM

W.P. Carey Exiting Office Sector, Spinning Off and Selling Office Properties into New REIT

W.P. Carey plans to exit office sector by spinning off 59 office properties into new REIT and selling 87 other office properties.
Spinoff of new REIT Net Lease Office Properties expected to close around Nov 1, 2023. Asset sales to be completed by Jan 2024.
Move aims to enhance W.P. Carey's growth and cost of capital as office occupancy rates suffer amid hybrid work.
New REIT NLOP will assume $169M debt and get $455M credit facility from J.P. Morgan.
NLOP to transfer ~$350M to W.P. Carey in connection with the spinoff.

seekingalpha.com

Relevant topic timeline:

8/27/2023

Got $1,000 and Want to Bump Up Your Passive Income Stream? Check Out These 2 Real Estate Investments

Investing in specialized real estate investment trusts (REITs) like Medical Properties Trust and American Tower can provide a reliable stream of passive income through dividend payments.

9/10/2023

Long-Term Investor Remains Bullish on Realty Income Despite Recent Stock Drop

9/21/2023

W.P. Carey to Spin Off Office Assets into New REIT and Sell Other Properties

9/21/2023

W.P. Carey Exits Office Properties as Remote Work Reduces Demand

9/21/2023

W.P. Carey Sells Office Assets, Reduces Debt and Dividend to Refocus on Faster-Growing Industrial Properties

9/25/2023

W.P. Carey Rental Growth Soars Over 4% in Q2 as Inflation-Linked Leases Pay Off

9/26/2023

W. P. Carey Slashes Dividend by 20%, Betraying Income Investors Who Valued Its Payouts

W.P. Carey's decision to cut its dividend and exit its office properties has led to a loss of trust from income investors and raises doubts about the quality of the company's remaining portfolio.

9/25/2023

W.P. Carey's New Strategic Plan Draws Criticism for Dividend Cut, High Costs

10/5/2023

Realty Income Targets Medical Real Estate Sector for Growth, Providing 'Fuel' for Dividend Giant