ROCKVILLE, Md., Jun 7, 2002 (BUSINESS WIRE) -- Federal Realty Investment Trust
(NYSE:FRT) announced today that it has agreed to sell 1.9 million common shares
of beneficial interest to Wachovia Securities with net proceeds to the Trust of
$25.98 per share, which represents a 5% discount off of the NYSE closing price
of $27.35 per share.
The Trust expects that Wachovia will initially reoffer the shares to the public at a price of $26.50 per share. Closing of the offering is expected to occur on June 12, 2002.
The Trust intends to use the approximately $49 million of net proceeds from the offering for the redevelopment of existing properties within its portfolio, the acquisition of retail properties consistent with its business strategy and other general corporate purposes, which may include the retirement of debt.
Federal Realty has granted the underwriter a thirty-day option to purchase up to 285,000 additional common shares to cover over-allotments, if any.
The sole underwriter is Wachovia Securities. A copy of the Prospectus relating to the offering may be obtained from Wachovia Securities, 7 Saint Paul Street, 1st Floor, Baltimore, Maryland 21202.
Federal Realty Investment Trust is an equity real estate investment trust specializing in the ownership, management, development and re-development of shopping center and street retail properties. Federal Realty's portfolio contains approximately 15 million square feet located in major metropolitan markets across the United States.
The operating portfolio is currently 95.5% leased to over 2,100 national, regional and local retailers with no single tenant accounting for more than 2.4% of rental revenue.
Federal Realty has paid quarterly dividends to its shareholders continuously since its founding in 1962, and has increased its dividend rate for 34 consecutive years, the longest consecutive record in the REIT industry. Shares of Federal Realty are traded on the New York Stock Exchange under the symbol FRT. Additional information about Federal Realty can be found on the Internet at www.federalrealty.com.
Safe Harbor Language
Certain matters discussed within this press release may be deemed to be forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Although Federal Realty Investment Trust believes the expectations reflected in such forward looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. Factors that could cause actual results to differ materially from Federal Realty's expectations are detailed from time to time in the Company's SEC reports and filings, including its annual report on Form 10-K for the year ended December 31, 2001, filed with the SEC on March 22, 2002. Federal Realty assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.
Federal Realty Investment Trust
CONTACT: Federal Realty Investment Trust, Rockville
Andrew Blocher, 301/998-8166
ablocher@federalrealty.com
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