Locally based New Plan's common stock closed yesterday at just over $29 per share. The parties expect to close the deal some time in the second quarter. Glenn Rufrano, New Plan's CEO says the transaction "accomplishes our ultimate objective of maximizing shareholder value."

The deal will give Centro interests in a portfolio of 467 centers spread throughout 38 states. Besides the Heritage deal, which gave Centro 171 centers, the firm acquired the 93-property Kramont Realty Trust for $610 million in 2004.

Bank of America's Equity Research team has the New Plan deal at a 6.25% capitalization rate, and says that no larger bids are likely to come in for the portfolio. "The deal has positive implications for the strip center sector," says a report issued on the deal. "The transaction could provide a positive catalyst for the sector given the lower-than-expected cap rate paid for New Plan's assets."