SOUTHFIELD, Mich., May 21 /PRNewswire-FirstCall/ -- Ramco-Gershenson
Properties Trust (NYSE: RPT) announced today that it has acquired its
institutional partner's 75% equity interest in Chester Springs shopping center
in Chester, New Jersey and Rivertowne Square in Deerfield Beach, Florida.
-- Chester Springs shopping center in Chester, New Jersey is a 224,000
community shopping center anchored by a 60,000 square foot Shop-Rite
Supermarket. It is located at the intersection of U.S. 206 and Route
24. Additional retailers include Staples, CVS Drug Store, The Gap and
Radio Shack. The average household income for the trade area is
$139,954.
-- Rivertowne Square in Deerfield Beach, Florida is a 137,000 community
center anchored by a 46,000 foot Winn Dixie Supermarket. Rivertowne
Square is located on Federal Highway (US-1) and Southeast 10th Street.
In addition to Winn Dixie, the center is anchored by Office Depot and
Eckerd Drug Store. The population for the trade area exceeds 100,000
persons in a three mile radius.
"We have exercised our option to buy the interest of our partner in these
two well-located shopping centers," said Dennis Gershenson, President and
Chief Executive Officer. "Based upon a pre-negotiated purchase price and the
significant value we added during our joint ownership of these two shopping
centers, the transaction is a win-win for both our partner and ourselves.
Utilizing income in place, the acquisition price will generate an initial
unleveraged return of 11.6% and a leveraged return of over 17%. A portion of
the proceeds from our recently completed equity offering were earmarked for
these purchases."
Ramco-Gershenson Properties Trust has a portfolio of 57 shopping centers
totaling approximately 11.2 million square feet of gross leasable area,
consisting of 56 community centers, of which nine are power centers and three
are single tenant properties, as well as one enclosed regional mall. The
Company's centers are located in Michigan, Ohio, Wisconsin, New Jersey,
Maryland, Virginia, North Carolina, South Carolina, Tennessee, Georgia,
Alabama and Florida. Headquartered in Southfield, Michigan, the Company is a
fully integrated, self-administered, publicly-traded real estate investment
trust (REIT) which owns, develops, acquires, manages and leases community
shopping centers, regional malls and single tenant retail properties,
nationally.
This press release contains forward-looking statements with respect to the
operation of certain of the Trust's properties. Management of
Ramco-Gershenson believes the expectations reflected in the forward-looking
statements made in this document are based on reasonable assumptions. Certain
factors could occur that might cause actual results to vary. These include
general economic conditions, the strength of key industries in the cities in
which the Trust's properties are located, the performance of the Trust's
tenants at the Trust's properties and elsewhere, and other factors discussed
in the Trust's reports filed with the Securities and Exchange Commission.
For further information on Ramco-Gershenson Properties Trust visit our
Website @ http://www.ramco-gershenson.com .
SOURCE Ramco-Gershenson Properties Trust
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Related links:
http://www.ramco-gershenson.com
CONTACT:
Dennis Gershenson, President & CEO, or
Richard Smith, CFO, of Ramco-Gershenson Properties Trust,
+1-248-350-9900, fax, +1-248-350-9925
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