Armada Hoffler Properties, Inc. (NYSE: AHH), a full service real estate company, which develops and owns high-quality office, retail and multifamily properties in key Mid-Atlantic markets, today announced its results for the quarter ended June 30, 2014.
- Funds From Operations (“FFO”) of $6.3 million, or $0.19 per diluted share for the quarter ended June 30, 2014.
- Core FFO of $6.8 million, or $0.21 per diluted share for the quarter ended June 30, 2014.
- Occupancy increased slightly to 94.6%, compared to 94.5% as of March 31, 2014.
- Initial occupancy at the new 4525 Main Street office tower in the Town Center of Virginia Beach commenced in June 2014.
- Construction contract backlog of $179.0 million as of June 30, 2014, which includes the Harbor Point project in Baltimore, Maryland.
- Cash dividend of $0.16 per share payable on October 9, 2014 to stockholders of record on October 1, 2014.
- Today, the company announced that West Elm, Free People, lululemon, francesca’s and Tupelo Honey Cafe have signed leases for retail space at the Town Center of Virginia Beach. This completes the co-tenancy requirement for the anchor tenant, Anthropologie, and rounds out the Company’s strategy to position Town Center as a premium upscale destination.
- On August 4, 2014, the Company announced that it has entered into an agreement to acquire Dimmock Square, a retail power center located in Colonial Heights, Virginia. The Dimmock Square acquisition will add over 100,000 square feet of 100% occupied retail space to the Company’s operating property portfolio. The agreement provides that the Company will acquire a 100% interest in Dimmock Square in exchange for approximately 990,000 units of limited partnership interest in the Company’s operating partnership and approximately $10 million of cash. The acquisition is expected to be accretive to annual FFO per diluted share and is expected to close in the third quarter of 2014.
- The Company is continuing its long-standing strategy to sell single tenant assets from time-to-time. The Company recently entered into an agreement to sell the Virginia Natural Gas office building, located near Town Center, for approximately $8.9 million, representing approximately 6.25 percent cap rate.
“This morning we reported another solid quarter and raised our full-year 2014 outlook,” commented Louis Haddad, Chief Executive Officer. “We are excited about the second-half of the year. We are executing on the goals laid out at the beginning of 2014 and, while only mid-way through the year, we have made great progress. This is a very exciting time for our company as each of our three divisions is firing on all cylinders.”