American Realty Capital Properties To Buy CapLease For About $2.2B


About a month after its failed bid to acquire Cole Credit Property Trust III Inc., American Realty Capital Properties Inc. (ARCP) says it plans to acquire CapLease Inc. for approximately $2.2 billion.

Providing the deal musters the usual regulatory approvals, ARCP will become the third largest real estate investment trust (REIT) in the U.S.

Per the deal, which is expected to close in the third quarter, ARCP will assume about $580 million of CapLease's $1.2 billion of outstanding debt, which it will have to repay.

Nicholas Schorsch, CEO of ARCP, said the merger would enable his company to ‘further diversify our property portfolio, fortify our credit quality, reduce our tenant concentration, and enhance our management team.’

Last month, ARCP was rebuffed in its bid to acquire Cole Credit Property Trust for about $9.7 billion.

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