AFRT closes on $300m Resnick sale.

American Financial Realty Trust, announced that it has closed the previously announced sale of five properties aggregating approximately 1.16 million square feet to Resnick Development Corp., a subsidiary of Jack Resnick & Sons, Inc.

The gross sale price was $301 million, before transaction and closing costs, net of approximately $11 million in loan defeasance and prepayment costs that were paid by the purchaser. The price per square foot was approximately $260, having an implied cap rate on the sale of approximately 6.70%.

Properties sold by American Financial Realty included 215 Fremont Street, San Francisco, California; Condominium Unit #1 at 123 S. Broad Street, Philadelphia, Pennsylvania; 2200 S. Cobalt Way, Meridian, Idaho; 1806 Tuckerstation Road, Louisville, Kentucky and 5450 Millstream Road, McLeansville, North Carolina. The proceeds from the sale are approximately $65.8 million after closing and the debt prepayment costs.

"This strategic asset sale is a key transaction in our ongoing capital recycling program that gives AFR the ability to capture shareholder value from fully valued assets while also creating opportunities for redeployment into higher yielding assets, thus continuing future earnings growth," said Dave Nettina, chief financial officer and chief real estate officer at American Financial Realty.

"We will discuss the impact of the Resnick transaction on 2006 earnings on May 2, 2006."