Cedar Shopping Centers Completes Acquisition of $53 Million Shopping Center
PORT WASHINGTON, N.Y., Aug. 3 /PRNewswire-FirstCall/ -- Cedar Shopping Centers, Inc. (NYSE: CDR) today announced that its joint venture with RioCan Real Estate Investment Trust (TSX: REI:UN) ("RioCan") (20% Cedar and 80% RioCan) completed the previously announced purchase of Exeter Commons, a 361,000 sq. ft. shopping center in Exeter Township, Pennsylvania (approximately 40 miles west of Philadelphia), for $53 million, excluding closing costs and adjustments.
The property, completed in 2009, is anchored by a 171,000 sq. ft. Lowe's Home Improvement Center and an 82,000 Giant Food Stores supermarket, with leases extending to 2029 exclusive of renewal options.
The purchase price was funded by a $30 million loan from New York Life Insurance Company at 5.3% for a term of ten years, with amortization on a 30-year schedule. Cedar's portion of the balance, constituting approximately $5 million, was funded from its existing secured revolving credit facility for stabilized properties.
About Cedar Shopping Centers
Cedar Shopping Centers, Inc. is a fully-integrated real estate investment trust which focuses primarily on the ownership, operation, development and redevelopment of "bread and butter"® supermarket-anchored shopping centers in coastal mid-Atlantic and New England states. The Company presently owns (both wholly-owned and in joint venture) and manages approximately 13 million square feet of GLA at 118 shopping center properties, of which more than 75% are anchored by supermarkets and/or drugstores with average remaining lease terms of approximately 11 years. The Company's properties have an occupancy rate of approximately 90%.
For additional financial and descriptive information on the Company, its operations and its portfolio, please refer to the Company's website at www.cedarshoppingcenters.com.
About RioCan
RioCan is Canada's largest real estate investment trust with a total capitalization of approximately $8.6 billion as at June 30, 2010. It owns and manages Canada's largest portfolio of shopping centres with ownership interests in a portfolio of 265 retail properties, including 11 under development, containing an aggregate of over 60 million square feet. RioCan owns an 80% interest in eight grocery anchored shopping centres in the United States and owns a 14% equity interest in Cedar. For further information, please refer to RioCan's website at www.riocan.com.
SOURCE Cedar Shopping Centers, Inc.
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