Acadia Realty (AKR) to Sell 3.4M Common Shares to Citigroup - Analyst Blog

Acadia Realty Trust (AKR), the White Plains, NY-based retail Real Estate Investment Trust (“REIT”), has made an announcement to sell 3.4 million of its common shares to the regional banking major Citigroup Inc. (C). The proceeds accrued from this public offering will be utilized for partly funding the $155.0 million acquisition of a San Francisco Bay-based retail property, as well as for general corporate purposes.

Citigroup is the sole book-runner for this offering, which is subject to Acadia Realty's effective shelf registration statement filed earlier with the Securities and Exchange Commission ("SEC"). It has also been granted an option to buy additional shares up to 510,000.

Acadia Realty is a fully integrated Retail-REIT, mainly focused on the acquisition, ownership, management and redevelopment of high-quality retail properties in neighborhood and community shopping centers. Also, in October, Acadia Realty sold 3.4 million common shares and accrued gross proceeds of around $101.2 million. The company intended to utilize the funds for acquisition-related as well as general corporate purposes.

Currently, Acadia Realty has a Zacks Rank #3 (Hold). Investors interested in retail REITs may consider better-ranked stocks like CBL & Associates Properties Inc. (CBL) and The Macerich Company (MAC). Both these stocks hold a Zacks Rank #2 (Buy).

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