PREIT Executes 90,000 Square Foot Lease for Self Storage Facility at Mall at Prince George's
PREIT (NYSE: PEI) has announced a new lease for a 90,000 square foot self-storage facility at the Mall at Prince George's in Hyattsville, MD, to be developed by Poverni Sheikh Group. Slated to open in Q1 2022, this facility adds a non-retail revenue stream, capitalizing on the area's growing household incomes, which exceed the US average by 15%. The strategic location benefits from nearby Amazon HQ2 and a substantial investment of nearly $1 billion in local development, enhancing the mall's appeal and potential foot traffic.
- New 90,000 square foot self-storage facility at the Mall at Prince George's will enhance revenue diversification.
- Location benefits from proximity to Amazon HQ2 and a significantly affluent trade area.
- Nearly $1 billion invested in local development signals growth potential and increased shopper traffic.
- None.
PHILADELPHIA, Feb. 2, 2021 /PRNewswire/ -- PREIT (NYSE: PEI), a leading operator of distinctive real estate in high barrier-to-entry markets, today announced that is has signed a new lease for a self storage facility at Mall at Prince George's in Hyattsville, MD. The site will be developed by Poverni Sheikh Group, LLC, it's 10th self-storage project in the Mid-Atlantic. The approximately 90,000 square foot facility of drive-in sub grade space is expected to open in Q1 2022, delivering a new source of non-retail revenue.
Located just outside of Washington DC, the property is perfectly situated to benefit from growth in the region, along the Metro line and approximately 15 miles from Amazon HQ2 in Crystal City. In densely populated Hyattsville, MD, MPG is surrounded by a growing trade area where household incomes exceed the US average by over 15 percent. Nearly
PREIT is focused on reinventing its platform by creating a diverse and expansive environment, marked by a healthy mix of uses that capitalize on bullseye locations to produce a broader consumer base, create stronger business models and provide greater market flexibility. This amenity adds to the broad array of attractions already at MPG, including attractive quick-serve dining options Chipotle, Five Guys, & Pizza, Mezeh Mediterranean; full service dining offerings Miller's Ale House and Outback Steakhouse; Fitness facility Planet Fitness, complementing the sought after retail offerings H&M, ULTA, DSW, Target, Marshall's, Ross Dress for Less, among others.
Eugene Poverni, CEO of Poverni Sheikh Group, LLC commented, "We're excited to have our second Prince George's County self-storage location in such a vibrant, retail rich environment and look forward to being an amenity for the community at-large."
Poverni Sheikh Group, LLC is a 30-person vertically integrated real estate company with in-house development, construction, bridge lending and property management platforms, with a particular emphasis on the self-storage and multifamily real estate sectors. The Company has developed in excess of
"This new addition is the perfect example of our value-add approach to our portfolio in a dynamic environment, turning unused space into a storage facility in a market dense with new apartment homes," said Joseph F. Coradino, CEO of PREIT. "This is yet another example of PREIT's progress in its plan to maximize the value of its distinctive real estate portfolio through the introduction of the highest and best uses available across its portfolio, enhancing strong assets in a great markets."
About PREIT
PREIT (NYSE:PEI) is a publicly traded real estate investment trust that owns and manages distinctive real estate in high barrier-to-entry markets at the forefront of shaping consumer experiences through the built environment. PREIT's robust portfolio of carefully curated retail and lifestyle offerings mixed with destination dining and entertainment experiences are located primarily in densely-populated, high barrier-to-entry markets with tremendous opportunity to create vibrant multi-use destinations. Additional information is available at www.preit.com or on Twitter or LinkedIn.
Forward Looking Statements
This press release contains certain forward-looking statements that can be identified by the use of words such as "anticipate," "believe," "estimate," "expect," "project," "intend," "may" or similar expressions. Forward-looking statements relate to expectations, beliefs, projections, future plans, strategies, anticipated events, trends and other matters that are not historical facts. These forward-looking statements reflect our current expectations and assumptions regarding our business, the economy and other future events and conditions and are based on currently available financial, economic and competitive data and our current business plans. Actual results could vary materially depending on risks, uncertainties and changes in circumstances that may affect our operations, markets, services, prices and other factors as discussed in the Risk Factors section of our other filings with the Securities and Exchange Commission. While we believe our assumptions are reasonable, we caution you against relying on any forward-looking statements as it is very difficult to predict the impact of known factors, and it is impossible for us to anticipate all factors that could affect our actual results. Important factors that could cause actual results to differ materially from those in the forward-looking statements include, but are not limited to, our ability to achieve our forecasted revenue and pro forma leverage ratio and generate free cash flow to further reduce our indebtedness; our ability to manage our business through the impacts of the COVID-19 pandemic, a weakening of global economic and financial conditions, changes in governmental regulations and related compliance and litigation costs and the other factors listed in our SEC filings. Additionally, our business might be materially and adversely affected by changes in the retail and real estate industries, including consolidation and store closings, particularly among anchor tenants; current economic conditions, including the impact of the COVID-19 pandemic and the steps taken by governmental authorities and other third parties to reduce its spread, and the corresponding effects on tenant business performance, prospects, solvency and leasing decisions; our inability to collect rent due to the bankruptcy or insolvency of tenants or otherwise; our ability to maintain and increase property occupancy, sales and rental rates; increases in operating costs that cannot be passed on to tenants; the effects of online shopping and other uses of technology on our retail tenants; risks related to our development and redevelopment activities, including delays, cost overruns and our inability to reach projected occupancy or rental rates; acts of violence at malls, including our properties, or at other similar spaces, and the potential effect on traffic and sales; our ability to sell properties that we seek to dispose of or our ability to obtain prices we seek; our substantial debt and the liquidation preference of our preferred shares and our high leverage ratio and our ability to remain in compliance with our financial covenants under our debt facilities; our ability to refinance our existing indebtedness when it matures, on favorable terms or at all; our ability to raise capital, including through sales of properties or interests in properties and through the issuance of equity or equity-related securities if market conditions are favorable; and potential dilution from any capital raising transactions or other equity issuances.
Additional factors that might cause future events, achievements or results to differ materially from those expressed or implied by our forward-looking statements include those discussed herein, and in the sections entitled "Item 1A. Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2019 and in our Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2020. We do not intend to update or revise any forward-looking statements to reflect new information, future events or otherwise.
PREIT Contact:
Heather Crowell
EVP, Strategy and Communications
(215) 316-6271
heather.crowell@preit.com
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