Macquarie Infrastructure Company announced that it completed the acquisition of six off-airport parking facilities.
The acquisition consists of sites in Buffalo, Columbus, Houston, Oklahoma City, Philadelphia and St. Louis. The total purchase price of the six facilities was $64.9 million, plus approximately $4 million of acquisition costs (including pre-funded reserves) and $1 million of pre-funded capital expenditures.
“This transaction represents a significant in-fill opportunity for MIC’s off-airport parking business,” said Peter Stokes, Chief Executive Officer of MIC. “The acquisition of these sites allows us to leverage our off-airport parking business into several attractive new markets and to add to our already strong position in two markets in which we have a presence,” he added. The added sites will be re-branded as Avistar Airport Parking facilities over the next several months.
With the additional facilities, MIC now operates 30 off-airport parking sites in 19 airport markets around the U.S. The nationwide network of sites is the largest in the off-airport sector of the parking industry.
The transaction was structured as an asset sale and financed with a combination of $21.2 million of cash and $48.7 million of new, non-recourse debt. The company has $10.0 million of additional capacity under the debt facility with which to finance additional parking facilities and with this transaction has fully deployed the “greenshoe” proceeds raised in its IPO. MIC management expects that the acquisition will be immediately yield accretive.