MPG Office Trust Moves to Profit

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Sales of some non-core properties boosted MPG Office Trust Inc. to a profit in the second quarter.

The real estate investment trust, considered downtown Los Angeles’ largest office landlord, late Monday reported net income of $118 million ($2.42 per share) compared with a net loss of $53.5 million (-$1.10) in the same period a year earlier. Revenue fell 2 percent $86.4 million on lower lease rates.

The company reported $92 million in proceeds from the sale of the Westin Pasadena hotel, and also received debt forgiveness on other buildings it disposed of and reported losses from writing down the value of certain properties in its portfolio.

In the same period a year ago, the REIT took write-down of $17.5 million on the lower value of an office building in Glendale and an office complex in Irvine that it gave back to its lender.

Shares on Tuesday were down 2 cents, or less than 1 percent, to $3.32 in midday trading on the New York Stock Exchange.

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