Business Context and Reporting Period
This Form 8-K Current Report was filed by Gladstone Commercial Corporation on January 30, 2004. The filing discloses the acquisition of a commercial real estate asset through its operating partnership, Gladstone Commercial Limited Partnership.
Key Financial Metrics and Transaction Details
- Asset Acquired: 3874 Highland Park, NW, a 54,018 square foot commercial office and warehouse building in Canton, Ohio.
- Acquisition Cost: $3.65 million in cash, inclusive of transaction costs.
- Funding Source: Proceeds from the Company's initial public offering in 2003.
- Property Metrics (as of Jan 1, 2004):
- Year Built: 1994
- Occupancy Rate: 100.0%
- Annual Contractual Base Rent: $337,625
- Rent per Occupied Square Foot: $6.25
- Major Tenant: Graphic Enterprises of Ohio, Inc.
- Lease Expiration: 2014
Material Changes
The primary material change reported is the expansion of the Company's property portfolio with the addition of the Canton, Ohio facility. The filing does not provide comparative financial data for the prior period as this is a transaction-specific report rather than a periodic earnings statement.
Guidance, Outlook, and Contingencies
The filing does not contain forward-looking guidance, management commentary on future outlook, or specific risk factors beyond the standard disclosure of the acquisition. The Company noted that required financial statements of the business acquired and pro forma financial information will be filed by amendment within 60 days of this report.
Investor Verification Checklist
- Verify the upcoming amendment filing (within 60 days) for the acquired property's financial statements and pro forma information.
- Confirm the lease terms and creditworthiness of the major tenant, Graphic Enterprises of Ohio, Inc.
- Review the impact of the $3.65 million cash outflow on the Company's remaining liquidity from the 2003 IPO proceeds.