PORT WASHINGTON, N.Y., Oct. 19 /PRNewswire-FirstCall/ -- Cedar Shopping Centers, Inc. (NYSE: CDR) today announced that it has completed the purchase of 11501 Roosevelt Boulevard (U.S. Route 1) in Northeast Philadelphia, Pennsylvania for approximately $13.375 million, excluding closing costs and adjustments. The property consists of an existing 230,000 sq. ft. building on approximately 15.3 acres. It is immediately adjacent to another property, 11601 Roosevelt Boulevard, now owned by Cedar, consisting of a 430,000 sq. ft. building on approximately 23.9 acres. Both properties are presently leased to the U.S. General Services Administration for use by the Internal Revenue Service with leases extending to October 15, 2011. The IRS is expected to vacate the buildings on or before that date.
The purchase for the property was funded with approximately $2.5 million in cash, including, among other things, funds for replacement of reserves and payment of certain transfer taxes, above an existing first mortgage of approximately $13 million due March 2012 assumed by Cedar.
The property, together with the adjacent property, represents an assemblage of nearly 40 acres with an existing signalized entrance on U.S. Route 1, a 10-lane highway with a traffic count of more than 70,000 cars per day at this site.
Upon maturity of the mortgage loan on the property, it is expected that the property will be included in a Company development credit facility. The Company has announced no present plans for development of the two properties.
About Cedar Shopping Centers
Cedar Shopping Centers, Inc. is a fullyintegrated real estate investment trust which focuses primarily on the ownership, operation, development and redevelopment of "bread and butter"® supermarketanchored shopping centers in coastal midAtlantic and New England states. The Company presently owns (both exclusively or in joint venture) and manages approximately 15.2 million square feet of GLA at 131 shopping center properties, of which more than 75% are anchored by supermarkets and/or drugstores with average remaining lease terms of approximately 11 years.
For additional financial and descriptive information on the Company, its operations and its portfolio, please refer to the Company's website at www.cedarshoppingcenters.com.
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forwardlooking statements include, without limitation, statements containing the words "anticipates", "believes", "expects", "intends", "future", and words of similar import which express our beliefs, expectations or intentions regarding future performance or future events or trends. While forwardlooking statements reflect good faith beliefs, expectations or intentions, they are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors, which may cause actual results, performance or achievements to differ materially from anticipated future results, performance or achievements expressed or implied by such forwardlooking statements as a result of factors outside of our control. Certain factors that might cause such differences include, but are not limited to, the following: real estate investment considerations, such as the effect of economic and other conditions in general and in our market areas in particular; the financial viability of our tenants (including an inability to pay rent, filing for bankruptcy protection, closing stores and/or vacating the premises); the continuing availability of acquisition, development and redevelopment opportunities, on favorable terms; the availability of equity and debt capital (including the availability of construction financing) in the public and private markets; the availability of suitable joint venture partners and potential purchasers of our properties if offered for sale; the ability of our joint venture partners to fund their respective shares of property acquisitions, tenant improvements and capital expenditures; changes in interest rates; the fact that returns from acquisition, development and redevelopment activities may not be at expected levels or at expected times; risks inherent in ongoing development and redevelopment projects including, but not limited to, costs overruns resulting from weather delays, changes in the nature and scope of development and redevelopment efforts, changes in governmental regulations relating thereto, and market factors involved in the pricing of material and labor; the need to renew leases or relet space upon the expiration or termination of current leases and incur applicable required replacement costs; and the financial flexibility of ourselves and our joint venture partners to repay or refinance debt obligations when due and to fund tenant improvements and capital expenditures. For more information regarding risks that may cause our actual results to differ materially from any forward looking statements, please see the discussion under "Risk Factors" contained in the prospectus supplement, the accompanying prospectus and the other information contained in our publicly available filings with the SEC, including our Annual Report on Form 10K for the year ended December 31, 2009. We do not undertake any responsibility to update any of these factors or to announce publicly any revisions to forward looking statements, whether as a result of new information, future events or otherwise.
SOURCE Cedar Shopping Centers, Inc.