Over a Dozen Diverse and Impactful Tenants in 575,000 Square Feet Opening Throughout PREIT Portfolio, Strengthening Core Assets

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PREIT (OTCQB: PRET) announced the addition of new and diverse tenants across its portfolio, including entertainment options, open air tenants, grocers, healthcare facilities, and more. Recent and upcoming openings include a Lego Discovery Center, Burlington, DICK's House of Sport, Tilted 10, Cooper University Health Care, Extra Space Storage, ULTA, Forever 21, Main Event, Abercrombie & Fitch, Versona, and Meritus Health. These additions aim to create a vibrant multi-use destination and enhance the consumer experience, signaling PREIT's ability to replace outdated department stores with modern, appealing tenants.

PHILADELPHIA, Aug. 14, 2023 /PRNewswire/ -- PREIT (OTCQB: PRET) welcomed several new and diverse tenants across its portfolio. For over a decade, PREIT has focused on going beyond traditional mall tenancy to include leisure and entertainment options, traditional open air tenants, grocers, healthcare and more. 

Accentuating this effort are several recent and upcoming openings:

Lego Discovery Center at Springfield Town Center held its grand opening on August 9, 2023, another step in creating the ultimate family destination. The location is the latest prototype and features DUPLO® Park, a 4D Cinema, Hero Zone, Space Mission for designing and launching spaceships, a cafe, Lego shop and more.  Burlington is expected to open its new location in October, bolstering the value offerings at the property.  Adding to the plan to create a vibrant multi-use destination, PREIT is planning to incorporate apartments and a hotel on the property, expanding its appeal. 

DICK's House of Sport at Viewmont Mall opened in 90,000 square feet on August 11, 2023.  One of only a handful of locations now open, House of Sport is the highly experiential offering from DICK's Sporting Goods.  Viewmont Mall is consistently well-occupied and is the dominant enclosed mall in the Northeastern Pennsylvania region.

Tilted 10 at Willow Grove Park opened in 103,000 square feet. First in the region, the facility offers fun for everyone including 16 full bowling lanes with a VIP bowling lounge, over 150 video and arcade games, laser tag, bumper cars and more.  This entertainment offering restores the mall to its amusement park roots and offers more reasons for shoppers to visit the mall.

In the upcoming months, PREIT expects to celebrate additional dynamic tenant openings throughout the portfolio and across a broad array of business segments.

Cooper University Health Care is expected to open a state-of-the-art facility in the former Sears location at Moorestown Mall that includes:  comfortable seating, a cafe, a community wellness information center, over 90 pod-like exam rooms, collaboration areas, smaller work areas for tele-visits and over 26 specialties working together. The opening marks a significant step in the transformation of the mall and its differentiation from nearby retail competition. 

Extra Space Storage is expected to open a 90,000 square foot facility this month at Mall at Prince George's.  This amenity adds to the broad array of attractions already at MPG, including attractive quick-serve dining options, full service dining offerings, a fitness facility, and sought after retail offerings as well as the plethora of nearby newly constructed apartments and condominiums.

At Dartmouth Mall, ULTA and Forever 21 are expected to open in the fourth quarter These additions advance the mall's position as the leading enclosed mall in the region, following the closure of two competing properties.  ULTA will round out the former Sears location which is now home to Burlington and Aldi, highlighting PREIT's ability to replace outdated department stores with modern, appealing tenants. 

Main Event is under construction for a 2024 opening and Abercrombie & Fitch and Versona will make their debuts at Woodland Mall.  With traffic ahead of pre-pandemic levels, signifying the success of the 2019 redevelopment, PREIT continues to attract new experiences and offerings to the market as competitive properties fall behind. 

Meritus Health is underway at Valley Mall with an anticipated opening in 2024.  This facility will offer physical therapy, sports medicine and family medicine. This addition to the mall's tenant mix is a strong example of bringing essential community needs under one roof.

"Creating a diverse tenant mix is a key ingredient in today's rapidly-evolving retail climate," said Joseph F. Coradino, CEO of PREIT. "We are well positioned with a high-quality portfolio in desirable markets to capture tenants that create a compelling consumer experience. Our newest tenant additions complement our existing portfolio and further drive traffic to our properties."

About PREIT

PREIT (OTCQB: PRET) is a publicly traded real estate investment trust that owns and manages innovative properties developed to be thoughtful, community-centric hubs. PREIT's robust portfolio of carefully curated, ever-evolving properties generates success for its tenants and meaningful impact for the communities it serves by keenly focusing on five core areas of established and emerging opportunity: multi-family & hotel, health & tech, retail, essentials & grocery and experiential. Located primarily in densely-populated regions, PREIT is a top operator of high quality, purposeful places that serve as one-stop destinations for customers to shop, dine, play and stay. Additional information is available at www.preit.com or on Twitter, Instagram 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," "intend," "may," "project," and similar expressions. Forward-looking statements relate to expectations, beliefs, projections, future plans, strategies, anticipated events, trends and other matters, including our expectations about the impact of COVID-19 on our business, that are not historical facts. These forward-looking statements reflect our current views about future events, achievements, results, cost reductions, dividend payments and the impact of COVID-19 and are subject to risks, uncertainties and changes in circumstances that might cause future events, achievements or results to differ materially from those expressed or implied by the forward-looking statements. In particular, our business might be materially and adversely affected by the following:

• the effectiveness of our prior financial restructuring and the ongoing and future strategies that we may employ to address our liquidity and capital resources;
  
  
• our ability to achieve forecasted revenue and pro forma leverage ratio and generate free cash flow to further reduce indebtedness;
  
  
• our substantial debt, and our ability to satisfy our obligations or extend the maturity of or refinance our outstanding debt at or prior to maturity, particularly in light of increasing interest rates, and our ability to remain in compliance with our financial covenants under our debt facilities;
  
  
• the COVID-19 global pandemic and the public health and governmental response, which have created periods of significant economic disruptions and also have and may continue to exacerbate many of the risks listed herein;
  
  
• changes in the retail and real estate industries, including bankruptcies, consolidation and store closings, particularly among anchor tenants;
  
  
• changes in economic conditions, including unemployment rates and its effects on consumer confidence and spending, supply chain disruptions, the inflationary environment, the potential for economic slowdown or recession 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 sell properties that we seek to dispose of, which may be delayed or prevented by, among other things, the failure to obtain zoning, occupancy and other governmental approvals and permits or, to the extent required, approvals of other third parties;
  
  
• potential losses on impairment of certain long-lived assets, such as real estate, including losses that we might be required to record in connection with any disposition of assets;
  
  
• our ability to raise capital, including through sales of properties or interests in properties, subject to the terms of our Credit Agreements;
  
  
• our ability to maintain and increase property occupancy, sales and rental rates;
  
  
• increases in operating costs that cannot be passed on to tenants, which may be exacerbated in the current inflationary environment;
  
  
• 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;
  
  
• social unrest and acts of vandalism or violence at malls, including our properties, or at other similar spaces, and the potential effect on traffic and sales; 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 section entitled "Item 1A. Risk Factors" of our Annual Report on Form 10-K for the year ended December 31, 2022 and Form 10-Q for the quarter ended June 30, 2023 and other reports we file with the SEC. Any forward-looking statements made by us speak only as of the date on which they are made, and we do not intend to update or revise any forward-looking statements to reflect new information, future events or otherwise.

CONTACT: 
Heather Crowell
heather@gregoryfca.com
preit@gregoryfca.com

 

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SOURCE PREIT

FAQ

What new tenants have been added to PREIT's portfolio?

PREIT has added a diverse range of tenants including entertainment options, grocers, healthcare facilities, and more, such as Lego Discovery Center, Burlington, DICK's House of Sport, Tilted 10, Cooper University Health Care, Extra Space Storage, ULTA, Forever 21, Main Event, Abercrombie & Fitch, Versona, and Meritus Health.

What is the significance of these new additions for PREIT?

The new additions aim to create a vibrant multi-use destination and enhance the consumer experience, signaling PREIT's ability to replace outdated department stores with modern, appealing tenants.

What is the expected impact of these new tenants on PREIT's properties?

The addition of new and diverse tenants is expected to drive traffic to PREIT's properties and complement the existing portfolio, creating a compelling consumer experience.

What is the focus of PREIT's tenant mix in the rapidly-evolving retail climate?

PREIT's focus is on creating a diverse tenant mix to capture tenants that create a compelling consumer experience, positioning the company well in desirable markets.

What is the CEO's statement regarding the new tenant additions?

Joseph F. Coradino, CEO of PREIT, emphasized that creating a diverse tenant mix is a key ingredient in today's rapidly-evolving retail climate, and the company is well positioned to capture tenants that enhance the consumer experience.