Weingarten Realty Investors (WRI - Snapshot Report) , a real estate investment trust (REIT), recently announced that it has closed the acquisition of a shopping center named 8000 Sunset for $99 million.
Located on the sunset strip in the West Hollywood submarket of Los Angeles, 8000 Sunset is a grocery anchored shopping center and spans 171,400 square feet. The center is located at the corner of Sunset Boulevard and Crescent Heights Boulevard, which is in the hub of Los Angeles. The center is currently 94% leased and caters to a population density of 240,000 people with average household incomes of $104,000.
This acquisition is expected to be valuable for Weingarten Realty as it has superior demographics including the extreme density and high household incomes as well as high barriers to entry. The company’s year-to-date acquisitions stood at $121 million.
Additionally, the company disposed of $45.8 million of non-core properties, bringing the year-to-date dispositions to $476 million, including the divestiture of its wholly-owned industrial portfolio for $382.4 million.
Based in Houston, Texas, Weingarten Realty owns, manages and develops real estate properties under two segments – Shopping center and Industrial. As of June 30, 2012, the company owns a total of 316 developed income-producing properties and 11 properties under construction.
The total number of properties includes 302 neighborhood and community shopping centers, 25 other operating properties located in 21 states from coast to coast, representing approximately 63.5 million square feet.
Weingarten Realty currently retains a Zacks #3 Rank, which translates into a short-term Hold rating. We also have a long-term Neutral recommendation on the stock. One of its competitors, DDR Corp. (DDR - Analyst Report) also holds a Zacks #3 Rank.