WINTER PARK, Fla., July 29, 2022 (WORLD NEWS CABLE) — CTO Realty Growth (NYSE: CTO) (the “Company”) today announced the closing of the sale of Westland Gateway Plaza, its primary rental property located in Hialeah, Florida. The main tenant exercised his existing right purchase option to acquire the property for $22.2 million, which represents an exit capitalization rate of 6.6%.
“We are very pleased with the 10.5% unlevered IRR this investment generated and look forward to the opportunity to redistribute sales proceeds into higher yielding properties through our opportunistic and retail-focused investment strategy,” noted John P. Albright. , Chairman and CEO of CTO Realty Growth.
The Company expects to use proceeds from the sales as part of a similar Section 1031 exchange. Upon the closing of this transaction, the Company has approximately $22.4 million of proceeds in 1031 restricted cash accounts.
About CTO Realty Growth, Inc.
CTO Realty Growth, Inc. is a publicly traded real estate investment trust that owns and operates a portfolio of high-quality retail properties located primarily in the fastest growing markets in the United States. CTO also outsources and owns a significant interest in Alpine Income Property Trust, Inc. (NYSE: PINE), a publicly traded net lease REIT.
We encourage you to revision our most recent investor presentation and supplemental financial information, which is available on our website at www.ctoreit.com.
Safe Harbor
Certain statements contained in this Press release (other than statements of historical fact) are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements can generally be identified by words such as “believe”, “estimate”, “expect”, “intend”, “anticipate”, “will”, “could”, “may”, “should”, “plan” . ”, “potential”, “predict”, “forecast”, “project” and similar expressions, as well as variations or negatives of these words.
While forward-looking statements are based on management’s current expectations and reasonable beliefs regarding future developments and their potential effect about the Company, a number of factors could cause the Company’s actual results to differ materially from those set forth in the forward-looking statements. Such factors may include, but are not limited to: the Company’s ability to remain qualified as a REIT; the Company’s exposure to changes in US federal and state income tax laws, including changes in REIT requirements; adverse economic and real estate conditions in general; macroeconomic and geopolitical factors, including, but not limited to, inflationary pressures, interest rate volatility, global supply chain disruptions, and ongoing geopolitical warfare; the ultimate geographic extent, severity, and duration of pandemics such as the COVID-19 pandemic and its variants, the measures that government authorities may take to contain or address the impact of such pandemics, and the potential negative impacts of such pandemics on the world economy and the financial condition and results of operations of the Company; the inability of primary tenants to continue paying their rent or obligations due to bankruptcy, insolvency, or general downturn in their business; the loss or failure, or decline in business or assets of PINE; carrying out 1,031 foreign exchange transactions; the availability of investment properties that meet the Company’s investment objectives and criteria; uncertainties associated with obtaining required government permits and meeting other closing conditions for planned acquisitions and sales; and the uncertainties and risk factors discussed in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2021 and other risks and uncertainties discussed from time to time in the Company’s filings with the Commission US Securities and Exchange
There can be no assurance that future developments will be in accordance with management’s expectations or that the effect of the Company’s future developments will be those anticipated by management. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this Press release. The Company undertakes no obligation to update the information contained in this press release to reflect subsequent events or circumstances.
| Contact: | Matthew M. Partridge | |
| Senior Vice President, CFO and Treasurer | ||
| (407) 904-3324 | ||
| [email protected] |
