BEACHWOOD, Ohio, April 1, 2015 /PRNewswire/ -- DDR Corp.
(NYSE: DDR) today announced that it closed on the acquisition of
one shopping center valued at $49
million and the disposition of 31 assets totaling
$353 million at 100% ownership, or
$153 million at the Company's share,
during the first quarter of 2015.
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Included in the total transactional activity for the quarter is
the final dissolution of the Company's joint venture with Coventry
Real Estate Advisors ("Coventry").
DDR transferred to Coventry its
20% interest in 21 of the joint venture's remaining 22-asset
portfolio, valued at $49 million at
the Company's share, and concurrently eliminated the Company's
$36 million of pro rata joint venture
debt. DDR had no GAAP economic interest in 18 of the 22 assets at
the time of dissolution. In exchange for its interest in the
portfolio, Coventry transferred to
DDR its 80% interest in Buena Park Place, a 223,000-square-foot
power center located in Orange County,
California, valued at $39
million, and concurrently retired $26
million of debt that was secured by the asset. In accordance
with the transaction, all charges in the associated lawsuits have
been dismissed.
In addition to the dissolution of DDR's former joint venture
with Coventry, the Company also
sold 10 assets totaling $104 million
at the Company's share. DDR is under contract to sell an additional
seven assets totaling $80 million at
the Company's share.
Luke J. Petherbridge, chief
financial officer of DDR, commented, "We are pleased to report
another strong quarter of transactional activity that included a
high-quality acquisition in a top MSA, the sale of another 31
lower-quality assets, and the wind down of our 15th joint venture
in the last four years. The current pricing environment has allowed
us to continue to accelerate our portfolio transformation, and
given the robust demand for shopping centers, we expect our
disposition activity to exceed our acquisition activity in the
first half of 2015. To capitalize on this trend, we are actively
reviewing additional assets for sale sooner than previously
expected."
About DDR Corp.
DDR is an owner and manager of 407
value-oriented shopping centers representing 117 million square
feet in 41 states and Puerto Rico.
The Company's assets are concentrated in high barrier-to-entry
markets with stable populations and high growth potential and its
portfolio is actively managed to create long-term shareholder
value. DDR is a self-administered and self-managed REIT operating
as a fully integrated real estate company, and is publicly traded
on the New York Stock Exchange under the ticker symbol DDR.
Additional information about the Company is available at
www.ddr.com.
Safe Harbor
DDR Corp. considers portions of the
information in this press release to be forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934, both as
amended, with respect to the Company's expectation for future
periods. Although the Company believes that the expectations
reflected in such forward-looking statements are based upon
reasonable assumptions, it can give no assurance that its
expectations will be achieved. For this purpose, any statements
contained herein that are not historical fact may be deemed to be
forward-looking statements. There are a number of important factors
that could cause our results to differ materially from those
indicated by such forward-looking statements, including, among
other factors, local conditions such as supply of space or a
reduction in demand for real estate in the area; competition from
other available space; dependence on rental income from real
property; the loss of, significant downsizing of or bankruptcy of a
major tenant; constructing properties or expansions that produce a
desired yield on investment; our ability to buy or sell assets on
commercially reasonable terms; our ability to complete acquisitions
or dispositions of assets under contract; our ability to secure
equity or debt financing on commercially acceptable terms or at
all; our ability to enter into definitive agreements with regard to
our financing and joint venture arrangements or our failure to
satisfy conditions to the completion of these arrangements; and the
success of our capital recycling strategy. For additional factors
that could cause the results of the Company to differ materially
from those indicated in the forward-looking statements, please
refer to the Company's Form 10-K for the year ended December 31, 2014, as amended. The Company
undertakes no obligation to publicly revise these forward-looking
statements to reflect events or circumstances that arise after the
date hereof.
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SOURCE DDR Corp.