Ramco-Gershenson Provides Update on Key Leasing, Development and Capital
Recycling Initiatives for the First Quarter of 2013
FARMINGTON HILLS, Mich. -- April 16, 2013
Ramco-Gershenson Properties Trust (NYSE:RPT) (the “Company”) today announced
its year-to-date progress on key leasing, development, and capital recycling
The Company announced a number of major anchor retenanting projects involving
three leading retailers: Marshalls, Whole Foods, and Gordmans. The new anchor
stores will be located at the following centers:
*Roseville Towne Center, Roseville, Michigan – Marshalls is relocating in
the center and has signed a new lease to open a 25,000 square foot store
in space previously occupied by Office Depot. In addition, Five Below has
signed a lease for a 12,000 square foot store in part of the space
currently occupied by Marshalls. The remainder of Marshalls existing store
is being conveyed to Wal-Mart pursuant to a land sale described below.
Construction is underway and is expected to be completed by August 2013.
*Nora Plaza, Indianapolis, Indiana – Whole Foods Market has signed a lease
to expand its current location to approximately 34,000 square feet by
taking space previously occupied by Carpet Fair. Construction of the
expanded Whole Foods store is underway with a targeted opening in the
spring of 2014.
*Lakeshore Marketplace, Norton Shores, Michigan – Gordmans, a leading
apparel and home fashions retailer, has signed a lease for a 54,000 square
foot store to replace a Younkers Furniture Outlet operated by
Elder-Beerman. Construction is expected to begin in July 2013 and be
completed by April 2014.
Additionally, in March, TJ Maxx opened a 27,000 square foot store at the
Shoppes of Lakeland in Lakeland, Florida in a space facilitated by the
downsizing of Ashley Furniture, which remains a tenant in 45,000 square feet.
Also in March, Whole Foods Market opened its previously announced 35,000
square foot store built as part of the redevelopment at The Shops on Lane
Avenue in Upper Arlington, Ohio.
The Company also announced continued progress at its Parkway Shops, a
ground-up development project in Jacksonville, Florida, anchored by Dick’s
Sporting Goods and Marshalls. Currently, 98.2% of the shopping center has been
delivered to the tenants. The project is expected to produce a stabilized
return of 7.8% on the total project cost of $19.6 million.
During the first quarter, the Company sold an outparcel at Parkway Shops for
net proceeds of $2.5 million, recognizing a gain on the sale of land of $0.6
million, or approximately $0.01 per diluted share.
Capital Recycling Update
During the first quarter, the Company sold 11.6 acres of land at the above
referenced Roseville Plaza in Roseville, Michigan to Wal-Mart Stores. Wal-Mart
had previously ground-leased the majority of the land and will expand its
existing 136,000 square foot store to a 180,000 square foot supercenter. The
Company realized net proceeds of $7.2 million from the sale and recognized a
gain on the sale of land of $3.0 million, or approximately $0.05 per diluted
Subsequent to quarter end, the Company sold Mays Crossing in Stockbridge,
Georgia for $8.4 million. Mays Crossing is anchored by Big Lots, Dollar Tree,
and Value Village. At December 31, 2012, the annualized average base rent at
Mays Crossing was $7.07 per square foot. The Company expects to recognize a
gain on the sale, which will not be included in Funds from Operations.
“All of our actions, including aggressively leasing our centers, right-sizing
national retailers, developing unproductive land, and selling non-core
properties, are consistent with our strategy of building a high-quality
shopping center portfolio while continuing to strengthen our capital
structure,” said Dennis Gershenson, President and Chief Executive Officer.
“Our efforts are focused on promoting the market dominance of our properties
while providing the communities in which we operate with exciting, destination
oriented consumer preferred retail choices.”
About Ramco-Gershenson Properties Trust
Ramco-Gershenson Properties Trust (NYSE:RPT) is a fully integrated,
self-administered, publicly-traded real estate investment trust (REIT) based
in Farmington Hills, Michigan. The Company’s business is the ownership and
management of multi-anchor shopping centers in strategic, quality of life
markets throughout the Eastern, Midwestern and Central United States. At
December 31, 2012, the Company owned interests in and managed a portfolio of
78 shopping centers and one office building with approximately 15.0 million
square feet of gross leasable area owned by the Company or its joint ventures.
The properties are located in Michigan, Florida, Ohio, Georgia, Missouri,
Colorado, Wisconsin, Illinois, Indiana, New Jersey, Virginia, Maryland, and
Tennessee. At December 31, 2012, the Company’s core operating portfolio was
94.6% leased. For additional information regarding Ramco-Gershenson Properties
Trust visit the Company's website at www.rgpt.com.
This press release may contain forward-looking statements that represent the
Company’s expectations and projections for the future. Management of
Ramco-Gershenson believes the expectations reflected in any forward-looking
statements made in this press release are based on reasonable assumptions.
Certain factors could occur that might cause actual results to vary, including
deterioration in national economic conditions, weakening of real estate
markets, decreases in the availability of credit, increases in interest rates,
adverse changes in the retail industry, our continuing ability to qualify as a
REIT and other factors discussed in the Company’s reports filed with the
Securities and Exchange Commission.
Click here to subscribe to Mobile Alerts for Ramco-Gershenson Properties
Ramco-Gershenson Properties Trust
Dawn Hendershot, 248-592-6202
Director of Investor Relations and Corporate Communications
Press spacebar to pause and continue. Press esc to stop.