October 17, 2006

Hampshire Cos. Acquires 3 Kost Road Buildings

Oaktree Capital Management Trades 414,000 SF in a Transaction Valued at Approximately $24M

Hampshire Cos. purchased a three-building portfolio at 180 Kost Road in Carlisle from Silver Spring Office, Silver Spring Warehouse and Silver Spring Warehouse II, better known as Oaktree Capital Management LLC. The three buildings have a combined total of 414,000 square feet and the transaction had an estimated value of approximately $24 million, or about $58 per square foot.

The property at 180 Kost Road consists of two single-story industrial buildings, consisting of 254,000 square feet and 80,000 square feet, respectively, and a two-story office building totaling 80,000 square feet. IBM currently occupies the industrial buildings for its fully automated global distribution center while the office building is currently vacant.

According to Hal Messer with NAI Hanson, "180 Kost Road offers Hampshire the unique benefit of acquiring a property at a substantial discount to replacement cost while having a strong high-credit tenant such as IBM, and the ability to add significant value to the property through the leasing of the vacant office building and the potential expansion to the existing warehouse."

Headquartered in Morristown, NJ, Hampshire Cos. is a full service, private real estate investment fund manager.

"Hampshire continues to be a leading property owner and investor and this addition to the company’s portfolio demonstrates Hampshire’s ability to identify and acquire large assets that are strategically well positioned in strong markets such as Carlisle, PA which serves as a major distribution hub for the Northeast" stated Michael Walters, SIOR of NAI Hanson.

NAI Hanson's Walters, executive director of corporate services, and Hal B. Messer, corporate services executive, represented Hampshire Cos. NAI Geis represented Oaktree Capital Management LLC.