Cedar Shopping Centers Announces July 2009 Sale, Lease and Financing Transactions
July 08 2009 - 1:30PM
PR Newswire (US)
PORT WASHINGTON, N.Y., July 8 /PRNewswire-FirstCall/ -- Cedar
Shopping Centers, Inc. (NYSE:CDR) today announced that it has
completed the sale for approximately $1.6 million of a 10,125 sq.
ft. retail property in Westfield, New York net leased to CVS. The
property was acquired in 2005 as part of a 25-property portfolio
from affiliates of Giltz & Associates, Inc. Cedar also arranged
property-specific permanent financing on CVS stores in Kinderhook
and Kingston, New York, and a Taco Bell store adjacent to the CVS
in Kingston, all of which are ground-up developments by the
Company. The aggregate amount of the financing, placed with the
Hudson Valley Federal Credit Union, is approximately $6.3 million
for five-year loans at an interest rate of 5.25% per annum with
amortization on a 25-year schedule. The Company additionally
announced that Boscov's had exercised a 10-year renewal option
effective as of September 2010 and continuing through 2020 for its
167,000 sq. ft. department store at the Company's Camp Hill,
Pennsylvania Shopping Center. The lease represents aggregate base
rent of more than $7.4 million during the extension period. Larry
Kreider, the Company's CFO stated "This sale, and others
contemplated at the periphery of our portfolio, and the
property-specific permanent financing on some of our development
properties as well as some of our stabilized properties, represent
part of an integral, multi-faceted approach intended to maintain
our balance sheet strength during the next several years. The
Company's core strategy of owning "bread and butter" shopping
centers in the Northeast and coastal mid-Atlantic states anchored
by supermarkets with long-term leases will remain our key focus as
we look to build shareholder value." About Cedar Shopping Centers
Cedar Shopping Centers, Inc. is a fully-integrated real estate
investment trust which focuses primarily on ownership, operation,
development and redevelopment of "bread and butter"
supermarket-anchored shopping centers predominantly in coastal
mid-Atlantic and New England states. The Company presently owns and
operates approximately 12.7 million square feet of GLA at 121
shopping center properties, of which approximately 75% are anchored
by supermarkets and drugstores with average remaining lease terms
of approximately 11 years. The Company's stabilized properties have
an occupancy rate of approximately 95%. The Company has also
announced a pipeline of approximately 12 substantially pre-leased
primarily supermarket- and drugstore-anchored development
properties and development parcels. Forward-Looking Statements
Statements made or incorporated by reference in this press release
include certain "forward-looking statements". Forward-looking
statements include, without limitation, statements containing the
words "anticipates", "believes", "expects", "intends", "future",
and words of similar import which express the Company's beliefs,
expectations or intentions regarding future performance or future
events or trends. While forward-looking statements reflect good
faith beliefs, expectations, or intentions, they are not guarantees
of future performance and involve known and unknown risks,
uncertainties and other factors, which may cause actual results,
performance or achievements to differ materially from anticipated
future results, performance or achievements expressed or implied by
such forward-looking statements as a result of factors outside of
the Company's control. Certain factors that might cause such
differences include, but are not limited to, the following: real
estate investment considerations, such as the effect of economic
and other conditions in general and in the Company's market areas
in particular; the financial viability of the Company's tenants;
the continuing availability of acquisition, development and
redevelopment opportunities, on favorable terms; the availability
of equity and debt capital (including the availability of
construction financing) in the public and private markets; the
availability of suitable joint venture partners and potential
purchasers of the Company's properties if offered for sale; changes
in interest rates; the fact that returns from acquisition,
development and redevelopment activities may not be at expected
levels or at expected times; risks inherent in ongoing development
and redevelopment projects including, but not limited to, cost
overruns resulting from weather delays, changes in the nature and
scope of development and redevelopment efforts, changes in
governmental regulations relating thereto, and market factors
involved in the pricing of material and labor; the need to renew
leases or re-let space upon the expiration or termination of
current leases; and the financial flexibility to repay or refinance
debt obligations when due and to fund tenant improvements and
capital expenditures. DATASOURCE: Cedar Shopping Centers, Inc.
CONTACT: Leo S. Ullman, Chairman, CEO and President, Cedar Shopping
Centers, Inc., +1-516-944-4525,
Copyright