A&B Acquires Newly Built Republic Distribution Center
Logistics Facility Located Near Burgeoning Port of Houston, Extending Real Estate Investment Strategies
HONOLULU--(BUSINESS WIRE)--Sept. 25, 2008--Alexander & Baldwin, Inc. (NASDAQ:ALEX) ("A&B") announced today that it completed the acquisition of the Republic Distribution Center ("RDC"), a 313,000 square foot industrial facility near the Port of Houston's two major container terminals.
"The acquisition of Republic Distribution Center extends our emerging investment strategy of acquiring logistics-oriented warehouse facilities in key domestic transportation nodes," said A&B Chairman and CEO Allen Doane. "Coupled with recent acquisitions of industrial facilities in Savannah and Dallas, and a warehousing and distribution company in the San Francisco Bay Area, we have added well over three million square feet of warehouse capacity to our national portfolio within the last year. And by using tax-deferred proceeds from recent property dispositions, we have acquired this facility on a tax-advantaged basis, which is a continuing core strategy in the management of our commercial property portfolio."
Construction of the RDC was completed in 2007 by Johnson Development Associates, a South Carolina-based development firm specializing in the construction of logistics-oriented facilities situated near major deepwater ports. The cross-dock facility includes 44 dock-high doors and 46 trailer storage spaces and is nearly 50 percent leased to a regional third-party logistics company.
The Port of Houston consists of multiple facilities along 25 miles of the Houston ship channel and is the nation's second busiest port based on total tonnage, and the seventh busiest container port. Future port growth is expected due to Houston's central U.S. location, trade lane access to South and Central American markets, and proximity to the Panama Canal.
With the acquisition, the commercial property/investment portfolio of the Company's real estate subsidiary, A&B Properties, Inc., is comprised of 7.2 million square feet of retail, office and industrial space located in Hawaii (22 properties) and eight mainland states (23 properties). Additional information about A&B Properties, Inc. may be found at its web site: www.abprop.com.
About Alexander & Baldwin: A&B is headquartered in Honolulu, Hawaii is engaged in ocean transportation and logistics services through its subsidiaries, Matson Navigation Company, Inc., Matson Integrated Logistics, Inc. and Matson Global Distribution Services; in real estate through A&B Properties, Inc.; and in food products through Hawaiian Commercial & Sugar Company and Kauai Coffee Company, Inc. Additional information about A&B may be found at its web site: www.alexanderbaldwin.com.
Statements in this press release that are not historical facts are "forward-looking statements," within the meaning of the Private Securities Litigation Reform Act of 1995, that involve a number of risks and uncertainties that could cause actual results to differ materially from those contemplated by the relevant forward-looking statement. These forward-looking statements are not guarantees of future performance. This release should be read in conjunction with our Annual Report on Form 10-K and our other filings with the SEC through the date of this release, which identify important factors that could affect the forward-looking statements in this release.
CONTACT: Alexander & Baldwin, Inc.
Meredith Ching, 808-525-6669 (Media)
Kevin L. Halloran, 808-525-8422 (Investor Relations)
SOURCE: Alexander & Baldwin, Inc.