DDR Sees $1B in Pipeline Opportunities

CLEVELAND-Though Developers Diversified Realty reported decreases in FFO per diluted share and net income per diluted share for the third quarter that ended Sept. 30, 2007, as compared to Q3 2006, the company touted increased leases, rents and development pipeline during a conference call Friday. Of note, the firm has 30 developments and expansions in progress, 13 more planned to start by the end of the year, and has identified several additional development opportunities reflecting an aggregate estimated cost of more than $1 billion, said company officials in a press statement.

According to the company, FFO per diluted share decreased 3.6% to 80 cents per share and net income per diluted share decreased 42.2% to 26 cents per share for the three-month period that ended Sept. 30. However, company officials said during the call that the third quarter saw record lease executions, including 179 new leases and 299 renewals, with base rental rates increasing by 13.8% to $12.58 per sf. The company’s overall occupancy rate for Q3 was 95.9%, said the executives.