SOURCE: Dividend Capital Total Realty Trust

June 16, 2010 17:54 ET

Dividend Capital Total Realty Trust Realizes 13% Return on Pittsburgh, PA Office Property Debt Investment and Announces Financing on Princeton, NJ Office Building

DENVER, CO--(Marketwire - June 16, 2010) -  Dividend Capital Total Realty Trust Inc., a diversified real estate investment trust (REIT), announced today that its $17.3 million debt investment in 625 Liberty Avenue -- a 616,000 square foot, 32-story Class-A office building located in the central business district of Pittsburgh, PA -- has been repaid, completing its full-cycle and yielding an approximate return on the investment of 13%. Through a joint venture partnership with Pearson Partners Inc., a real estate investment banking and advisory firm, $21.3 million was invested in September 2008 in 625 Liberty Avenue to fund the leasing costs and associated renovations of the property.

Additionally, Dividend Capital Total Realty Trust announced that it has secured $35 million of fixed rate financing on 1100 Campus Road, a Princeton, NJ office property that it had previously acquired in November 2009 for approximately $51 million in an all-cash transaction. The property is leased to Novo Nordisk, a leading healthcare company that manufactures and markets diabetes care products worldwide, with 13 years remaining on the lease term. The financing proceeds, provided by a life insurance company, should give Dividend Capital Total Realty Trust the ability to redeploy the capital at a time when commercial real estate property prices are lower, which has the potential to be further accretive to the company.

"The Liberty Avenue investment contributed an attractive return to our portfolio over the term of the investment, yielding approximately 13% on our investment in less than two years," said Guy Arnold, president of Dividend Capital Total Realty Trust. "Similarly, the Princeton, NJ financing shows the strength of this property as well as our balance sheet and gives us a great opportunity to make additional investments that should be beneficial to the company and its investment strategy."

Dividend Capital Total Realty Trust, a Denver-based REIT, invests in a diversified portfolio of commercial real estate assets. The company currently owns 79 properties totaling approximately 13 million square feet in 27 geographic markets.

Certain items in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "may," "will," "expect(s)," "could," "should," and "continue" and similar expressions are intended to identify such forward-looking statements. These statements are based on management's current expectations and beliefs and are subject to a number of risks and uncertainties that could lead to actual results materially different from those described in the forward-looking statements. Dividend Capital Total Realty Trust can give no assurance that its expectations will be attained. Factors that could cause actual results to differ materially from Dividend Capital Total Realty Trust's expectations include, but are not limited to, the uncertainty of the sources for funding Dividend Capital Total Realty Trust's future capital needs, delays in the acquisition, development and construction of real properties, changes in economic conditions generally and the real estate and securities markets specifically and the other risks detailed from time to time in Dividend Capital Total Realty Trust's SEC reports. Such forward-looking statements speak only as of the date of this press release. Dividend Capital Total Realty Trust expressly disclaims any obligation to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the company's expectations with regard thereto or change in events, conditions or circumstances on which any statement is based.