New York City-based Net Lease Office Properties (NLOP) recently announced the successful sale of three office properties, generating a total of $131.6 million in gross proceeds. These transactions included the divestiture of a Collierville, TN property leased to FedEx Corporate Services for $62.5 million, a Hoffman Estates, IL asset leased to DMG Mori Seiki U.S.A., Inc for $36 million, and a Stavanger, Norway property leased to Total E&P Norge AS for $33.1 million.
The buyers were not disclosed by NLOP at this time. Together these properties encompass 770,703 square feet.
After accounting for closing costs and fees associated with the sales process,NLOP used net proceeds from these transactions to pay off approximately$90million on J.P.Morgan’s senior secured mortgage loan and around$14million on its mezzanine loan as of May 2nd2024.This leaves outstanding balancesof roughly$199millionand$100millionrespectively.
In addition,NLOPalso disposedof two office properties that were encumbered by non-recourse mortgage loans through transfers backto their respective lendersin April.One was previouslyleasedto Exelon Generation Company LLC whilethe other was formerly occupiedby AVT Technology Solutions LLC.This latest news marks another successful moveforNet Lease Office Propertiesas they continue togrowtheir portfoliothrough strategic divestmentsand investmentsin primeoffice assetsacross various marketsaroundthe world.
