July 11, 2013 (New York) – American Realty Capital Properties, Inc. ("ARCP") announced a definitive merger agreement to acquire all of the outstanding shares of American Realty Capital Trust IV ("ARCT IV") in a $3.1 billion transaction whereby ARCP will own 2,579 single tenant properties net leased to 470 tenants across 29 industries in 48 states. Proskauer served as counsel to ARCP and ARCT IV. The deal is expected to close in the third quarter of 2013.

"This transaction enhances ARCP's scale and further diversifies its tenant and asset base," said Peter M. Fass, Proskauer Partner and co-head of the firm's Real Estate Capital Markets Group. "Upon closing, the combined entity will become the second largest net lease REIT and have a well diversified real estate pool. Together with the recently announced CapLease merger and portfolio purchase from GE Capital and other organic acquisitions, ARCP will have an enterprise value of $10 billion."

Earlier this year, the Group advised American Realty Capital Trust IV in its acquisition of a net lease retail portfolio of properties from General Electric Co's (GE) financial arm for $1.45 billion, and American Realty Capital Properties in a separate purchase of a net lease retail portfolio from GE for $807 million. In May, the Group advised on American Realty Capital Properties merger agreement to acquire CapLease Inc. in a $2.2 billion transaction. In March, the Group advised on American Realty Capital Properties bid to acquire Cole Credit Property Trust III for $9.7 billion, as well as on American Realty Capital Properties acquisition of American Realty Capital Trust III to become one of the largest publicly traded REITs in the U.S., with a total enterprise value exceeding $3 billion.

In addition to Peter Fass, the team includes Partners Daniel Ganitsky (M&A) and Les Loffman (Tax); Special Tax Counsel Tim Donovan (Tax); and Associates Mike Ellis (Corporate), Julie Kim (Corporate), Adela Cho (Corporate), Leon Volchyok (Corporate), Martha Rose (Corporate) and Raj Bandla (Corporate).

Proskauer's Real Estate Capital Markets Group is recognized for its skill and experience. A pioneer in the use of innovative structures and techniques and creative approaches for executing highly complex transactions, the firm regularly counsels a premium roster of clients – including REITs, investment banks, real estate funds, hedge funds, institutional and specialty lenders, sovereign wealth funds and pension advisers – across a broad spectrum of transactions, ranging from public debt and equity offerings and private placements, mergers and acquisitions and mortgage and mezzanine financings and restructurings, to joint ventures, distressed real estate and workouts and real estate dispute matters.

American Realty is a publicly traded Maryland corporation listed on The NASDAQ Global Select Market that qualified as a real estate investment trust for U.S. federal income tax purposes for the taxable year ended December 31, 2011, focused on acquiring and owning single tenant freestanding commercial properties subject to net leases with high credit quality tenants.