Exton Square Mall, Exton Square, PA
PHILADELPHIA, PA—PREIT completed the sale of a four-acre parcel at Exton Square to Hanover Company, generating gross proceeds of $10.3 million.
The sale will enable development of more than 300 luxury apartments on the site of Exton Square Mall, where a new Whole Foods opened earlier this year as a preliminary step in reimagining the property.
“We are pleased to have completed this transaction as part of our densification program, which serves to improve the value of our assets and our liquidity position to strengthen our balance sheet,” says Joseph F. Coradino, CEO of PREIT. “We will continue to redeploy the capital we raise into our successful anchor replacement program to drive traffic, sales and NOI and create value for shareholders.”
The transaction marks a critical step in PREIT's high-priority densification program, designed to transform its properties into remarkable and innovative environments, with retail at the core. As previously reported by GlobeSt.com, PREIT has been working feverishly to reposition its mall properties, including its flagship assets in the South Jersey and Philadelphia markets, to relieve some of the occupancy pressures malls face as weaker retailers retrench. This has included an increase in the number of experiential tenants, restaurants, and even coworking space planned for the Cherry Hill Mall.
In May, the company announced that it would be looking for opportunities to develop residential components throughout its portfolio of well-located, mostly mall-style retail properties in high barrier-to-entry markets. PREIT said at the time it would seek to develop 5,000-7,000 residential units in the Philadelphia and Washington, DC, markets and 1,500-3,000 hotel units across a dozen properties. PREIT says it is in active discussions on three additional multifamily opportunities and three hotel opportunities.
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Steve Lubetkin
Steve Lubetkin is the New Jersey and Philadelphia editor for GlobeSt.com. He is currently filling in covering Chicago and Midwest markets until a new permanent editor is named. He previously filled in covering Atlanta. Steve’s journalism background includes print and broadcast reporting for NJ news organizations. His audio and video work for GlobeSt.com has been honored by the Garden State Journalists Association, and he has also been recognized for video by the New Jersey Chapter of the Society of Professional Journalists. He has produced audio podcasts on CRE topics for the NAR Commercial Division and the CCIM Institute. Steve has also served (from August 2017 to March 2018) as national broadcast news correspondent for CEOReport.com, a news website focused on practical advice for senior executives in small- and medium-sized companies. Steve also reports on-camera and covers conferences for NJSpotlight.com, a public policy news coverage website focused on New Jersey government and industry; and for clients of StateBroadcastNews.com, a division of The Lubetkin Media Companies LLC. Steve has been the computer columnist for the Jewish Community Voice of Southern New Jersey, since 1996. Steve is co-author, with Toronto-based podcasting pioneer Donna Papacosta, of the book, The Business of Podcasting: How to Take Your Podcasting Passion from the Personal to the Professional. You can email Steve at [email protected].
