Brixmor credits redevelopment for strong quarter

Same property net operating income during the first quarter was up 3.2% at Brixmor Property Group thanks to aggressive redevelopment efforts, said the company’s CEO.



"While the overall retail environment brought an increase in announced retail bankruptcies and store closings, our portfolio continued to benefit from healthy tenant demand, resulting in 1.9 million sq. ft. of new and renewal leases executed in the first quarter at blended comparable rent spreads of 16.4%," said James Taylor in a statement.



The company completed four anchor space repositioning projects and added five new projects to its in-process pipeline for a total of 17, from which the company expects average incremental NOI yields of 13% to 15%.



During Q1 the company also acquired Arborland Center (pictured above), a 404,000-sq.-ft. grocery-anchored center in Ann Arbor, Michigan, for $102 million. The property is situated between the University of Michigan and Eastern Michigan University and features Kroger, Nordstrom Rack, Marshalls, Ulta, and DSW.



“Our leasing and redevelopment activity continues to demonstrate the upside embedded in our portfolio given our locations, below-market rent basis, and accretive redevelopment potential, all of which represent distinct competitive advantages in today's environment," Taylor said.

---

Connect with me on LinkedIn | Follow me on Twitter