Terreno Realty acquires property in Queens, NY for $23M

Terreno Realty acquired an industrial property located in Long Island City, Queens, New York on March 6 for a purchase price of approximately $23M. The property consists of one industrial distribution building containing approximately 45,000 square feet on 1.1 acres. The property is at 42-11 9th Street, immediately adjacent to the Queensboro 59th Street Bridge connecting Manhattan and Queens, provides one dock-high and two grade-level loading positions and off-street parking for 13 cars. The property is 100% leased on a short-term basis and the estimated stabilized cap rate is 5.2%. Estimated stabilized cap rates are calculated as annualized cash basis net operating income stabilized to market occupancy divided by total acquisition cost. Total acquisition cost includes the initial purchase price, the effects of marking assumed debt to market, buyer’s due diligence and closing costs, estimated near-term capital expenditures and leasing costs necessary to achieve stabilization.