SpectraSite Holdings Inc. last week signed a definitive agreement to acquire property management firm Apex Site Management Inc.
The stock-for-stock transaction, which is expected to close by the end of the year, is valued at $60 million.
Terms of the agreement call for Apex to become a wholly owned subsidiary of SpectraSite.
Apex specializes in negotiating telecommunications transmission and access agreements between property owners and telecommunications companies. The company earns a monthly fee on each lease it facilitates.
“This is a key strategic acquisition for SpectraSite for several reasons,” said Stephen Clark, chief executive officer of SpectraSite.
“First, it enables us to better serve our existing customers with the addition of rooftop space in premium locations,” he said. “Also, it allows us to diversify our customer base as we leverage the relationships Apex has with broadband carriers.
“Finally, it positions us to take full advantage of the future growth in wireless data, (multichannel multipoint distribution services) and in-building applications,” continued Clark.
Apex represents more than 12,000 properties under exclusive management agreements or master leases, including more than 3,300 office and flex/industrial properties. Apex’s clients include five of the top 10 office real estate investment trusts and three of the top four hotel REITs in the United States, said SpectraSite.
In addition, Apex has forged relationships with broadband wireless carriers Winstar Communications Inc. and Teligent Inc.
Apex bills about $25 million in gross annual rental run rate on its portfolio. The company’s rent roll has been increasing by nearly $1 million per month during the last several months, fueled by both mobile and fixed applications.
