Business Context and Reporting Period
This Form 8-K was filed by Inland American Real Estate Trust, Inc. on December 2, 2005. The report details a specific asset acquisition completed by the registrant's joint venture, Minto Builders (Florida), Inc. (MB REIT).
Key Financial Metrics and Transaction Details
- Asset Acquired: Lake View Technology Center I, a freestanding office building in Suffolk, Virginia.
- Property Size: Approximately 110,000 gross leasable square feet.
- Tenant: Leased to the General Services Administration (GSA) for the U.S. Joint Force Command.
- Acquisition Cost: Approximately $24.5 million.
- Financing: Initial financing of $24.3 million was provided by Inland Western Retail Real Estate Trust, Inc. This loan was repaid by MB REIT on December 6, 2005.
- Transaction Structure: MB REIT acquired all membership interests of MB Suffolk Lakeview, LLC from Inland American Acquisitions, Inc. (IAA) for no consideration. IAA had previously acquired the property from an unaffiliated third party on October 7, 2005.
Material Changes
The primary material change is the addition of the Lake View Technology Center I to the joint venture's portfolio. The filing does not provide comparative financial data, revenue, profit, or margin metrics for the registrant or the joint venture.
Guidance, Outlook, and Risks
The filing contains no management commentary, forward-looking guidance, or specific risk factors related to this transaction. The document notes that no audited financial statements are required for this acquisition under Rule 3-14 of Regulation S-X.
Investor Verification Checklist
- Verify the lease terms and expiration date with the GSA tenant.
- Confirm the repayment status of the $24.3 million intercompany loan (noted as repaid Dec 6, 2005).
- Review the relationship and capital structure between MB REIT, IAA, and Inland Western Retail Real Estate Trust, Inc.
- Assess the impact of the $24.5 million asset on the joint venture's overall leverage and liquidity.