"The real value of the venture is we'll be able to go out and acquire stabilized outfits that wouldn't otherwise meet our operating income requirements, in hopes of furthering our dominance in those key markets," Andrew Blocher, Federal Realty's vice president, Capital Markets & Investor Relations, tells GlobeSt.com. "We can now execute those acquisitions that enhance our growth as opposed to detracting from it."

Blocher was not at liberty to disclose the properties the joint venture is eyeing at the moment, but he did say that the acquisitions department has a pipeline of assets that they're currently exploring.

Federal Realty put up its $20.5-million Plaza del Mercado--the 100,000-sf Giant Food-anchored shopping center in Montgomery County, MD that it acquired last November--as a foundation for the joint venture. Individually, Federal Realty is contributing a $42-million investment to the partnership and Clarion is putting in $98 million.