AFR buys Fireman's bldg.

American Financial Realty Trust, a real estate investment trust focused on acquiring and leasing properties occupied by financial institutions, announced that it has completed its previously announced acquisition of a three-building, class A office complex aggregating more than 700,000 s/f on approximately 64 acres of land from a financial institution for a gross purchase price of approximately $283.5 million. The company revealed that the property, located in Novato, Ca., is the national headquarters for Fireman's Fund Insurance Company and that the Fund will continue to lease 100% of this property on a net lease basis through November 2018.

AFR anticipates an average capitalization rate of 7.82% based on the projected cash flows under the existing lease. The company financed the transaction with funds generated from its recent equity offering, advances under the company's secured credit facility and approximately $191 million in secured indebtedness at an effective fixed interest rate of approximately 5.27% net of hedging activities.