FRP Holdings, Inc. Announces Agreement With Steuart Investment Company and MRP Realty
08 Novembre 2022 - 4:37PM
FRP Holdings, Inc. (NASDAQ: FRPH) has executed an agreement with
Steuart Investment Company (SIC) and MidAtlantic Realty Partners
(MRP) for the development of up to ten mixed-use projects in the
Capitol Riverfront and Buzzard Point submarkets of Washington, DC.
These projects will come from four parcels of land owned by SIC,
phases III and IV of The Company’s Riverfront on the Anacostia
Development, the site currently leased to Vulcan Materials in
Buzzard Point, and the existing mixed use multifamily/retail assets
(Dock 79, The Maren, and The Verge) owned by The Company and MRP in
the Capitol Riverfront and Buzzard Point submarkets. Upon
completion and stabilization, these projects will comprise over 3
million square feet of mixed-use development including 3,000
residential units and 150,000 square feet of retail.
Under the terms of the agreement:
- SIC will purchase a share in a
tenancy in common of 20% of ownership in Dock 79 and the Maren for
$65.3 million, $44.50 million of which is attributable to The
Company. Net of the portion of the mortgage assumed by SIC, FRP’s
gross proceeds of the sale will be $19.95 million
- SIC will have the right to acquire
a 10% to 20% share of The Verge, phases 3 and 4 of the Riverfront
projects and Square 664E
- When developing SIC parcels, MRP
and The Company will be responsible for all pre-development work
including entitlements, permits, zoning approvals, design, budgets,
additional equity and construction financing required to begin each
project. Any pre-development costs incurred in this process will be
converted into equity in the project. The partners will then go
through an appraisal process for the land with the purchase price
being the appraised value less the estimated environmental
remediation costs. This pre-development work will be done through a
joint venture between MRP and FRP.
“This is a unique opportunity to expand upon our
existing footprint in one of the best markets in the world,” said
John D. Baker II, CEO and Chairman of FRP Holdings, Inc. “When the
dust settles on these projects, this partnership will control
nearly every asset visible to the naked eye as you drive into our
nation’s Capital from the south. It has the potential to be
something really special.” For more information on this agreement,
please consult the attached map of properties controlled by the
partners in the agreement.
FRP Holdings, Inc. is a holding company engaged
in the investment and development of real estate, namely (i)
leasing and management of industrial and commercial properties
owned by The Company, (ii) leasing and management of mining royalty
land owned by The Company, (iii) real property acquisition,
entitlement, development and construction primarily for apartment,
retail, warehouse, and office, (iv) management of mixed use
residential/retail properties owned through our joint ventures
Investors are cautioned that any statements in
this press release which relate to the future are, by their nature,
subject to risks and uncertainties that could cause actual results
and events to differ materially from those indicated in such
forward-looking statements. These include, but are not limited to:
the impact of the Covid-19 Pandemic on our operations and financial
results; the possibility that we may be unable to find appropriate
investment opportunities; levels of construction activity in the
markets served by our mining properties; demand for flexible
warehouse/office facilities in the Baltimore-Washington-Northern
Virginia area; demand for apartments in Washington D.C., Richmond,
Virginia, and Greenville, South Carolina; our ability to obtain
zoning and entitlements necessary for property development; the
impact of lending and capital market conditions on our liquidity;
our ability to finance projects or repay our debt; general real
estate investment and development risks; vacancies in our
properties; risks associated with developing and managing
properties in partnership with others; competition; our ability to
renew leases or re-lease spaces as leases expire; illiquidity of
real estate investments; bankruptcy or defaults of tenants; the
impact of restrictions imposed by our credit facility; the level
and volatility of interest rates; environmental liabilities;
inflation risks; cybersecurity risks; as well as other risks listed
from time to time in our SEC filings; including but not limited to;
our annual and quarterly reports. We have no obligation to revise
or update any forward-looking statements, other than as imposed by
law, as a result of future events or new information. Readers are
cautioned not to place undue reliance on such forward-looking
statements.
A photo accompanying this announcement is available at
https://www.globenewswire.com/NewsRoom/AttachmentNg/8f52bb1e-352c-417c-a528-e16a6d0c45cd
Contact:
John D. Baker III
Chief Financial Officer
904/858-9100
Grafico Azioni FRP (NASDAQ:FRPH)
Storico
Da Giu 2024 a Lug 2024
Grafico Azioni FRP (NASDAQ:FRPH)
Storico
Da Lug 2023 a Lug 2024