CTO Realty Growth, Inc. - CTO STOCK NEWS

CTO Realty Growth has completed the sale of a property in Jacksonville, Florida, leased to PDQ for approximately $2.5 million, with an exit cap rate of 6.1%. The company expects a gain of about $128,000, or $0.02 per share, after tax. This sale contributes to over $12 million held in Section 1031 like-kind exchange restricted cash. Year-to-date, CTO has sold seven single-tenant net lease properties and one multi-tenant retail property totaling more than $51 million in aggregate sales.

CTO Realty Growth, Inc. (NYSE American: CTO) has appointed Matthew M. Partridge as Senior Vice President and Chief Financial Officer. Partridge brings extensive experience from previous roles at Hutton and Agree Realty Corporation. He is expected to contribute significantly to the company's financial strategies. In addition, he will also hold the same position at Alpine Income Property Trust, Inc. (NYSE: PINE), which is managed by CTO. This strategic appointment aims to strengthen CTO's leadership team in the real estate investment sector.

CTO Realty Growth announced its Board of Directors' unanimous decision to elect REIT tax status starting December 31, 2020. This strategy aims to enhance its commercial real estate investments across multiple sectors. The company plans a one-time special distribution estimated between $46 million and $54 million to shareholders, payable in cash or stock. To maintain REIT qualification, CTO aims to distribute at least 90% of its taxable income. A proposed merger with CTO NEWCO REIT is anticipated, with shareholder approval sought in the fourth quarter of 2020.

CTO Realty Growth (CTO) has acquired a 120,000 square foot office property in Tampa, Florida, for approximately $26.9 million, leased 100% to Ford Motor Credit Company through March 2026. The acquisition yields around 8.4%, exceeding the company's 2020 guidance. In August 2020, CTO collected about 90% of expected base rents, but has deferred approximately 3% primarily related to 24 Hour Fitness. The company completed over $164 million in property acquisitions in 2020, maintaining a weighted average cap rate of 7.9%.

CTO Realty Growth (NYSE American: CTO) has completed the sale of approximately 98 acres for $2.8 million to JTD Land Company, marking a price of around $28,500 per acre. This transaction aligns with the distribution priority in the operating agreement of the Land Joint Venture (Land JV), in which CTO retains an interest. Since its inception in October 2019, the Land JV has achieved nearly $67 million in land sales, with seven additional agreements in the pipeline, potentially yielding $28.5 million. The sold property is poised for development as a 140-unit single-family project.

CTO Realty Growth announced the sale of a property in Austin, Texas, leased to Carrabba’s Italian Grill, for approximately $2.5 million. This sale reflects an exit cap rate of 6.4% and leaves an estimated loss of $94,000 after tax, translating to $0.02 per share. The company now has over $36 million in Section 1031 restricted cash. Year-to-date, CTO has sold six single-tenant and one multi-tenant properties for over $49 million. The proceeds from this transaction are planned for a future 1031 exchange.

CTO Realty Growth (NYSE: CTO) announced a quarterly dividend of $0.40 per share, payable on August 31, 2020, to shareholders on record as of August 17, 2020. The Board highlighted a revenue growth that supports a long-standing dividend tradition, noting a 160% increase in dividend growth over the past year. This increase aligns with the potential for a REIT conversion in 2020, which may necessitate a higher dividend payout to meet REIT distribution requirements.

CTO Realty Growth reported Q2 2020 earnings, with a net income of $2.71 per share, boosted by a non-cash gain from its investment in Alpine Income Property Trust. The company collected 80% of rent during the quarter and 87% in July. It sold $39.3 million in properties, realizing a gain of $7.4 million, and disposed of loans generating $20 million. The firm plans to convert to a REIT by year-end, aiming to reduce tax expenses. Overall revenue increased 22% year-over-year to $13.01 million, but operating income decreased 26% to $10.77 million.

CTO Realty Growth (NYSE American: CTO) announced the sale of its Wawa ground lease in Jacksonville, Florida, for approximately $7.1 million, with an exit cap rate of about 4.9%. The sale is expected to yield an estimated gain of $246,000 or $0.04 per share after tax. Proceeds will contribute to a future Section 1031 like-kind exchange. Year-to-date, CTO has sold five single-tenant net lease properties and one multi-tenant retail property for over $46 million.