Friday, January 25, 2008

Berry Plastics Enters $87 Million Sale Leaseback for Three US Facilities

CoStar Group - January 23, 2008

Berry Plastics sold its headquarters and three facilities to affiliates of W.P. Carey & Co. LLC in an $87 million sale-leaseback deal. W. P. Carey’s REIT affiliate, CPA(R):16-Global, and fund, CPA(R):17-Global, acquired more than 1.4 million square feet in flex/industrial space in Indiana, Maryland and Kansas.

The portfolio includes:

Berry Plastics’ headquarters and largest production facility at 101 Oakley St., a 96-year-old, 552,000-square-foot, Class B flex building in Evansville, IN;

A manufacturing plant at 1810 Portal St., a 25-year-old, 244,000-square-foot, Class B industrial facility in Baltimore, MD; and,

2330 Packer Road, a 37-year-old Class C industrial property in Lawrenceville, KS.

Berry Plastics, a plastic packaging products manufacturer, leased back all three properties on a long-term basis. The deal allowed the manufacturer to raise needed financing.

"The sale-leaseback of these three facilities allowed us to raise funds for an add-on acquisition," said Ira G. Boots, chairman and CEO of Berry Plastics Corp.

Another W. P. Carey fund, CPA(R):15, completed a $33 million sale-leaseback with Berry Plastics five years ago. Sphere: Related Content

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