SOURCE: Franklin Street Properties Corp.

February 26, 2008 14:21 ET

Franklin Street Properties Corp. Announces an Agreement in Principle to Acquire FSP Park Ten Development Corp.

WAKEFIELD, MA--(Marketwire - February 26, 2008) - Franklin Street Properties Corp. ("FSP") (AMEX: FSP), an investment firm specializing in real estate, announced today that it has reached a non-binding agreement in principle to acquire FSP Park Ten Development Corp. for a total purchase price of approximately $35.4 million. FSP Park Ten Development Corp. was originally capitalized through a private placement offering to accredited investors by FSP's subsidiary, FSP Investments LLC. Upon completion of the acquisition, the existing holders of preferred stock in FSP Park Ten Development Corp. would receive cash consideration of approximately $127,290 per share. The acquisition will be effected by merging a wholly owned acquisition subsidiary of FSP with and into FSP Park Ten Development Corp. Consummation of the acquisition requires entry by the parties into a mutually acceptable merger agreement and the approval of FSP Park Ten Development Corp.'s stockholders. The acquisition is expected to close on or about May 1, 2008. FSP Park Ten Development Corp. has been advised in this acquisition by Cohen & Steers Capital Advisors, LLC.

About Franklin Street Properties Corp.

Franklin Street Properties Corp., based in Wakefield, Massachusetts, is focused on achieving current income and long-term growth through investments in commercial properties. FSP operates in two business segments: real estate operations and investment banking/investment services. FSP owns an unleveraged portfolio of real estate. The majority of FSP's property portfolio is suburban office buildings, with select investments in certain central business district properties. FSP's subsidiary, FSP Investments LLC (member, FINRA and SIPC), is a real estate investment banking firm and a registered broker/dealer. FSP is a Maryland corporation that operates in a manner intended to qualify as a real estate investment trust (REIT) for federal income tax purposes. To learn more about FSP please visit our website at

Forward-Looking Statements

Statements made in this press release that state FSP's or management's intentions, beliefs, expectations, or predictions for the future, including statements relating to the execution of a mutually acceptable merger agreement and consummation of the merger with FSP Park Ten Development Corp., constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. This press release may also contain forward-looking statements based on current judgments and current knowledge of management, which are subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those indicated in such forward-looking statements. Accordingly, readers are cautioned not to place undue reliance on forward-looking statements. Investors are cautioned that our forward-looking statements involve risks and uncertainty, including the inability to reach agreement on other terms and conditions of the proposed merger or failure to obtain the requisite shareholder vote. See the "Risk Factors" set forth in Part I, Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2007, as the same may be updated from time to time in subsequent filings with the United States Securities and Exchange Commission. Although we believe the expectations reflected in the forward looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. We will not update any of the forward looking statements after the date of this press release to conform them to actual results or to changes in our expectations that occur after such date, other than as required by law.

Contact Information

  • Contact:
    Donna Brownell