LAS VEGAS, Sept. 9, 2013 (GLOBE NEWSWIRE) -- MVP REIT Inc. announced today that, together with its partners, it has completed the acquisition of the final tranche in a $13.5 million portfolio consisting of five surface parking lots and a single parking garage located in Maryland, Missouri, Tennessee and Florida. The final tranche was comprised of two parking facilities in Baltimore and St. Louis, acquired for $4.3 million on September 4, 2013.
The Baltimore property is a 6-story parking garage, located in the downtown Central Business District. The 86,520-square-foot, automated facility is situated beneath a 23-story office building, and is utilized by local area businesses near the city's harbor. Additionally, the 240-parking space facility is surrounded by a number of professional and financial offices, as well as a number of nearby restaurants.
The St. Louis property is an approximately 1.22-acre surface parking lot, located in the heart of the city center. The 55,153-square-foot lot has 179 parking spaces and is accessible by both eastbound and westbound traffic on Spruce Street. Located on the western portion of the St. Louis Central Business District, the property is a short distance from Scottrade Center, Busch Stadium, City Hall, the headquarters of the Metropolitan Police Department, and the St. Louis Public Library.
"These centrally-located properties are an ideal fit for the MVP REIT portfolio, and are in keeping with our strategy to acquire income-producing parking and storage facilities that may provide our investors with a potential hedge against inflation," said Mike Shustek, president and CEO of MVP REIT.
MVP REIT, along with Vestin Realty Mortgage I Inc. ("VRMI") and Vestin Realty Mortgage II Inc. ("VRMII"), formed two separate limited liability companies to purchase the two parking facilities, which are each owned 44 percent by VRMI, 51 percent by VRMII and 5 percent by MVP REIT. Percentages were based on each party's capital contributions.
In addition to the acquisition of St. Louis and Baltimore parking facilities, the entire $13.5 million, six parking facility portfolio, included the acquisition of a Fort Lauderdale parking lot in late July, the acquisition of a parking lot in downtown Kansas City and two parking lots in downtown Memphis in late August.
About MVP REIT, Inc.
MVP REIT intends to operate as a publicly registered, non-traded hybrid real estate investment trust. It is currently conducting a public offering of up to 55,555,556 shares of its common stock at $9.00 per share and up to an additional 5,555,556 shares of its common stock for issuance under its distribution reinvestment plan at $8.73 per share.
MVP REIT intends to use the proceeds from the offering to invest in a diversified portfolio of income producing commercial real estate properties and loans secured by income-producing commercial real estate as well as to pay expenses and fees associated with the offering.
Forward-looking statements
This press release contains forward-looking statements within the meaning of federal securities laws and regulations. These forward-looking statements are identified by their use of terms and phrases such as "anticipate," "believe," "continue," "could," "estimate," "expect," "intend," "may," "plan," "project," "should," "will," and other similar terms and phrases, including references to assumptions and forecasts of future results. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. These risks include, but are not limited to: volatility in the debt or equity markets affecting our ability to acquire or sell real estate assets; national and local economic, business and real estate market conditions, including the likelihood of a prolonged economic slowdown or recession; the ability to maintain sufficient liquidity and our access to capital markets; our ability to identify, successfully compete for and complete acquisitions and loans; and the performance of real estate assets and loans after they are acquired. Although each of Vestin and MVP believe the expectations reflected in such forward-looking statements are based upon reasonable assumptions, they can give no assurance that the expectations will be attained or that any deviation will not be material. Neither Vestin nor MVP undertake any obligation to update any forward-looking statement contained herein to conform the statement to actual results or changes in expectations. This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities.