WAKEFIELD, Mass.– Franklin Street Properties Corp. (the “Company”, “FSP”, “our” or “we”) (NYSE American: FSP), a real estate investment trust (REIT), announced today the sale of its only property in Durham, North Carolina (the “Property”) for gross proceeds of $89.7 million, or approximately $346 per square foot. The Property is located at 4820 Emperor Boulevard and consists of an approximately 259,531 square foot office building that is 100% leased to a tenant in the life sciences industry.
The Company expects to record a gain of approximately $42 million in the fourth quarter of 2020 in connection with the sale of the Property. The Company intends to use net proceeds from the sale of the Property to repay debt.
George J. Carter, Chairman and Chief Executive Officer of FSP, commented as follows:
“Emperor Boulevard was FSP’s only property within the Raleigh-Durham marketplace and its disposition reflects our strategy to sell assets when we believe that their respective value proposition and resulting pricing have been maximized for our shareholders. At this time, we believe that the best use for the net proceeds from the sale of the Property is debt reduction. However, we will continue to evaluate potential future alternative avenues for redeployment, which could include new property investments.”
