REIT valuations look very attractive, which has resulted in rising merger and acquisition activity, says Laurel Durkay, portfolio manager at Cohen & Steers. J. Scott Craig, portfolio manager at Eaton Vance, expects that REIT fundamentals will stay steady for the remainder of 2018.
AvalonBay Communities is seeking a buyer for half of a $1.2 billion apartment portfolio in Manhattan, according to sources. The REIT wants to sell seven apartment buildings in neighborhoods such as Chelsea and Morningside Heights.
Easterly Government Properties is buying a 1.5 million-square-foot portfolio in various US states for $430 million. The transaction will increase the REIT's portfolio by 39% on a rentable square foot basis, says CEO William Trimble III.
Experiential concepts are driving new anchor development at CBL, where 70% of the company's first-quarter leasings were not apparel firms, CEO Stephen Lebovitz says. The company's fresh look at anchor tenants includes options such as theaters, entertainment spaces, American Girl, Ulta Beauty and sporting goods stores.
Structured Development, the developer behind the 76,000-square-foot proposed Sheridan Crossing development in North Chicago, Ill., has hired CBRE Group to handle the tenant search for the property. The goal is to include numerous types of tenants, such as a microbrewery, restaurants, organizations that use medical office space, a bowling alley and a grocer.
City-owned Tower Mall in Vancouver, Wash., is seeking solutions for redevelopment after the city purchased the property at auction in 2017. The city will determine what residents want from the 186,000-square-foot enclosed property; plans may include urban green space and mixed development in an urban village-style layout.
A new Life Time fitness center is scheduled to open in the Northshore Mall in Peabody, Mass., in 2020. The center is part of a larger makeover that will include the closing of a Sears store there.
Perry Ellis International co-founder George Feldenkreis will take the company private in a deal valued at $437 million or $27.50 per share. The apparel designer and retailer launched in 1967, and Feldenkreis, who led as CEO for many years and stepped down as chairman in September, will return in a management position.
W.P. Carey will acquire Corporate Property Associates 17 Global in a deal valued at $6 billion that could position W.P. Carey as the second-largest net-lease REIT by market value with a market cap of $11 billion. The combined company's pro forma enterprise value would be $17.3 billion.