DDR exits joint venture in Buffalo

Beachwood, Ohio --DDR Corp. announced the sale of an 11-property portfolio--located primarily in the Buffalo MSA that was previously held in joint venture with Kuwaiti Financial Centre II--for a total of $154 million. The portfolio was comprised of small-format traditional grocery-anchored centers and single tenant non-prime assets.



"This transaction aligns with our strategic initiative to reduce exposure to non-core markets and assets, while simplifying our structure through the prudent dissolution of joint ventures," said Daniel B. Hurwitz, CEO of DDR.



Following the sale of KFC II, combined with assets currently under contract for sale in Buffalo, DDR will have reduced its total GLA in the Buffalo market by 68% since 2007, from 40 properties to 10. As a result, Buffalo will drop out of the top 15 MSAs by base rent for the company. The wind-down of KFC II represents the 13th joint venture since 2009 that DDR has exited or expects to exit by year-end 2014, and is reflective of the company's continued focus on simplifying its business.