Americold Realty Trust Announces Acquisition of Newport-St. Paul Cold Storage
January 09, 2020 at 04:15 pm
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Americold Realty Trust announced on January 9, 2020, that the Company has acquired Newport-St. Paul Cold Storage (“Newport Cold”), a 6.1 million cubic foot temperature-controlled storage facility located in St. Paul, Minnesota, for $56 million. Separately, the Company has closed on its previously announced acquisition of Nova Cold Logistics, an owner and operator of three temperature-controlled storage facilities in Canada. Newport Cold Acquisition - Newport Cold Storage is a 6.1 million cubic foot temperature-controlled facility, containing approximately 26,000 pallet positions located in St. Paul, Minnesota. Strategically located on Highway 494, the site offers three acres of adjoining land available for expansion. This transaction was completed at a year one NOI yield, reflective of Americold Operating System implementation costs, of approximately 7.5% and is being funded with cash on the balance sheet. Nova Cold Acquisition - The previously announced Nova Cold portfolio consists of three locations totaling 23.5 million cubic feet with approximately 81,000 pallet positions, and additional acreage for future expansions. Located in the gateway cities of Toronto, Calgary, and Halifax, this acquisition expands Americold’s position in Canada, where the Company already has a presence through its third-party management business. Americold’s current customer base has significant overlap with Nova Cold’s.
Americold Realty Trust, Inc. is a real estate investment trust (REIT). The Company is focused on the ownership, operation, acquisition and development of temperature-controlled warehouses. The Company is organized as a self-administered and self-managed REIT. The Company operates through three segments: Warehouse, Third-party managed and Transportation. It operates a global network of approximately 245 temperature-controlled warehouses encompassing approximately 1.5 billion cubic feet, with 197 warehouses in North America, 27 in Europe, 19 warehouses in Asia-Pacific, and two warehouses in South America. The Company holds hold minority interests in two joint ventures, one with SuperFrio, which owns or operates 35 temperature-controlled warehouses in Brazil, and one with the RSA JV, which owns two temperature-controlled warehouses in Dubai. Its handling services optimize its customerâs product movement through the cold chain, including placement, and other recurring handling services.