News

Private Real Estate Investment Firm, Cohen Asset Management, Inc. Announces the Acquisition of a Fully Occupied Building at SFO Airport  
Los Angeles, California (July 27, 2011)
 
An affiliate of Cohen Asset Management, Inc., Cowan Industrial LLC, acquired a prime industrial building adjacent to the tarmac at San Francisco International Airport (SFO).  Strategically located in the Burlingame submarket of San Francisco with immediate access to California State Highway 101, the property provides easy access to San Francisco, San Jose and the East Bay making this infill location the premier choice for industry with operations serving SFO.
 
The property is 100% leased on a long-term basis to Sky Chefs Inc., a subsidiary of Deutsche Lufthansa AG, providing Cohen and its investors with strong cash returns from the inception of ownership projected to grow significantly via contractual annual rental escalations. Located in a prime infill location with a lack of available land, the project has substantial building improvements and upgrades that will continue to attract high quality tenants.
Cohen created additional value for the investment during escrow in successfully restructuring the lease with the tenant to define annual CPI increases and eliminate a mid-term rent review that potentially could have reduced the base rent. The investment was sourced on an off-market basis reflective of the depth of Cohen’s relationships and an acquisition style that Cohen has excelled at in the past.  The acquisition of the property continues Cohen’s track record of sourcing opportunities through its bi-coastal offices while furthering Cohen’s standing as a national operator with local presence and close broker relationships. With the Sky Chefs acquisition, Cohen expands its Northern California holdings to six buildings.
 “It is unusual to be able to identify such well-located assets for sale on an off-market basis. We are very pleased to have identified this industrial opportunity that will provide our investors immediate and annually escalating inflation-protected cash flow from a credit tenant for the next ten years” commented Brandon Delf, CIO and Executive Vice President of Cohen Asset Management®. 
 
This transaction is in line with Cohen’s value-add strategy in industrial real estate pursued on behalf of its select client base which targets high quality, infill located property in select major markets in the U.S.  Cohen places an emphasis on properties populated with credit tenants with leases that have rolled during the past three years providing immediate cash flow and allowing Cohen to utilize its operational expertise to position the properties to benefit from anticipated market recoveries.
 
 
About Cohen Asset Management®
Cohen Asset Management, Inc. is a private commercial and industrial real estate investment firm. The firm’s relationships extend to high net worth individuals, institutional investors and domestic business entities. The private real estate investment firm is an active operator and investor of commercial and industrial real estate assets and has a well-established reputation as a value added investor focusing on commercial and industrial real estate opportunities that are inefficiently priced due to a variety of circumstances such as vacancies, rollover risk, sub-optimal management, inefficient current use, deferred maintenance, long-term undervalued leases or other unfavorable property and market conditions.