CTO Realty Growth, Inc. (NYSE: CTO) has made two important announcements. The company has disclosed that it has purchased Phase I of The Exchange at Gwinnett which is a grocery-anchored retail property in the Buford submarket of Atlanta, Georgia for $34.0 million. The acquisition price signifies a going-in cap rate within the range of the Company’s direction for initial cash yields.
Besides this acquisition, the company also revealed that it has sold a vacant six-acre development land parcel in downtown Daytona Beach, Florida for $6.3 million. CTO believed that the acquisition of Phase I of The Exchange at Gwinnett is an excellent opportunity for it to buy a high-quality, newly built grocery-anchored property in one of the region’s rapidly expanding retail corridors and now makes Atlanta the largest market in its portfolio based on yearly base rent.
Furthermore, the company revealed that by combining its earlier acquisitions, it has now purchased $245 million of assets in 2021. It positioned the firm for very attractive FFO and AFFO growth in 2022. Moreover, the Property is part of the larger 106-acre master-planned development project called The Exchange at Gwinnett.
It is being developed by Fuqua Development and equity partner Batson Cook Development Company, which is situated at the intersection of I-85 and SR 20 adjacent to the Mall of Georgia and just twenty miles northeast of the Company’s Ashford Lane property. In addition, the Company disclosed that it has bought the Property utilizing available cash and availability under the Company’s unsecured revolving credit facility.