UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
WASHINGTON,
D.C. 20549
FORM
8-K
CURRENT
REPORT
PURSUANT
TO SECTION 13 OR 15(d) OF THE
SECURITIES
EXCHANGE ACT OF 1934
Date of Report (Date of earliest event
reported): December 1, 2010
American
Realty Capital New York Recovery REIT, Inc.
(Exact
Name of Registrant as Specified in Charter)
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Maryland
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333-163069
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27-1065431
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(State
or other jurisdiction
of
incorporation or organization)
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(Commission
File Number)
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(I.R.S.
Employer
Identification
No.)
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405
Park Avenue
New
York, New York 10022
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(Address,
including zip code, of Principal Executive Offices)
Registrant's
telephone number, including area code: (212)
415-6500
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Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions:
o Written
communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
o Soliciting
material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
o Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b))
o Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c))
Item 2.01 Completion of Acquisition or
Disposition of Assets.
On
December 1, 2010, American Realty Capital New York Recovery REIT, Inc. (the
“Company”), through its sponsor, American Realty Capital III, LLC, closed its
acquisition of a portfolio of five retail condominiums in Manhattan, New York,
at a purchase price of $35.0
million with an average capitalization rate of 7.2%.
The
seller consists of Bleecker Street Condo, LLC, 382/384 Bleecker, LLC, 382/384
Perry Retail, LLC and BCS 387, LLC (the “Seller”). The Seller has no
material relationship with the Company and the acquisition is not an affiliated
transaction. The Company
previously filed the purchase and sale agreement that it entered into in
connection with the acquisition as an exhibit to its Current Report on Form 8-K
on October 6, 2010.
The
Company financed a portion of the purchase price with a five-year, $21.3 million
mortgage note bearing a fixed interest rate of 4.29% with an unaffiliated
lender. In addition, the acquisition was partially funded with $14.0
million of preferred equity proceeds received from two joint venture partners,
American Realty Capital Trust, Inc., an affiliate of the Company
("ARCT"), and an unaffiliated third-party investor. The
Company may redeem the preferred equity interests of ARCT or the unaffiliated
third party investor at their respective capital contribution amounts plus any
accrued yields. The joint venture agreement provides the preferred equity
investors with no voting rights and as such, the Company is responsible for
day-to-day control over operating decisions of the properties. The
balance of the total purchase price was funded by the Company’s
equity.
The
properties are located on Bleecker Street in Greenwich Village and are 100%
leased to five high-end fashion tenants including: Marc Jacobs, Michael Kors,
Burberry, Mulberry and APC. Each of the leases has 3% annual rent
increases and remaining lease terms ranging from approximately 6 years to 12
years. The five retail properties are ground-floor commercial condominium units
with approximately 9,300 square feet situated in three buildings between West
11th and Charles Streets.
Item 9.01 Financial
Statements.
(a)(4) The
audited financial statements relating to the portfolio required by Rule 3-14 of
Regulation S-X are not included in this Current Report on Form
8-K. The Company will file such audited Financial Statements with the
U.S. Securities and Exchange Commission within 71 calendar days of the date of
the closing of the acquisition, or December 1, 2010.
SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the Registrant has
duly caused this report to be signed on its behalf by the undersigned hereunto
duly authorized.
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AMERICAN
REALTY CAPITAL NEW YORK RECOVERY REIT, INC.
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Date: December
7, 2010
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By:
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/s/ Nicholas
S. Schorsch
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Nicholas
S. Schorsch
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Chief
Executive Officer and
Chairman
of the Board of
Directors
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