Regency Centers Reaches New York - Analyst Blog
January 19 2012 - 5:45AM
Zacks
Regency Centers Corporation
(REG) recently completed the acquisition of Lake Grove
Commons, in New York with its co-investment partner First
Washington Realty, Inc for $72.5 million. The 141,382 square foot
property is located in Long Island.
Lake Grove Commons is a Class A
property strategically located at the intersection of New Moriches
Road and US 347 with superior visibility owing to its proximity to
the super-regional shopping center Smith Haven Mall.
With this transaction, Regency
marked its entry into one of the top retail markets of the country.
Based on its infill location, market-dominant anchors and affluent
consumer base, Lake Grove Commons is expected to enhance the
quality of Regency’s portfolio.
Jacksonville, Florida-based Regency
Centers is a self-administered real estate investment trust (REIT),
primarily engaged in owning, operating, and developing
grocery-anchored retail shopping centers in the U.S. As of
September 30, 2011, the company owned 367 retail properties,
including those held in co-investment partnerships.
With properties in high income,
high-barrier-to-entry markets, Regency’s retail strip center
portfolio is among the best in the sector and allows it to
continually perform at the top-end of its peer group. The company’s
dominant anchor tenants are grocery stores, a segment that is
comparatively less affected even in a challenging economy.
Consequently, Regency has a relatively steady source of
revenue.
Regency Centers currently retains a
Zacks #5 Rank, which translates into a short-term Strong Sell
rating. We are also maintaining our long-term Neutral
recommendation on the stock. One of its competitors,
Developers Diversified Realty Corp.
(DDR) holds a Zacks #3 Rank,
which implies a short-term Hold rating.
DDR CORP (DDR): Free Stock Analysis Report
REGENCY CTRS CP (REG): Free Stock Analysis Report
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