Highwoods Properties, Inc.
), a real estate investment trust (REIT), recently entered into
long-term agreements with three new customers to lease a total of
69,000 square feet at PPG Place office complex located in
As per the transaction, the company leased office space spanning
35,000 square feet and 18,000 square feet at PPG Place I and
another office space spanning 16,000 square foot at PPG Place VI.
Situated in the heart of downtown Pittsburgh, PPG Place is a
six-building Class A office complex of approximately 1.54 million
square feet. The building already boasts a number of renowned
PPG Industries Inc.
H. J. Heinz Company
Allegheny Technologies Incorporated
), Deloitte & Touche, Morgan Stanley Smith Barney and Ernst
With the acquisition of PPG Place in September 2011, Highwoods
debuted in the vibrant diversified market of Pittsburgh. The city
is well known for its developed medicine, higher education,
tourism, banking, corporate headquarters and high technology
Since the acquisition of PPG Place, the occupancy of the
company's overall portfolio has increased 240 basis points to
83.6%. The company is on track to increase occupancy by an
additional 290 basis points to 86.5% by end of 2012, including the
impact of the new lease agreements.
ALLEGHENY TECH (ATI): Free Stock Analysis
HIGHWOODS PPTYS (HIW): Free Stock Analysis
HEINZ (HJ) CO (HNZ): Free Stock Analysis Report
PPG INDS INC (PPG): Free Stock Analysis Report
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Based in Raleigh, North Carolina, Highwoods is one of the biggest
owners and operators of suburban office, industrial and retail
properties in the Southeastern and Midwestern U.S., providing a
complete line of real estate services to its customers and third
parties through a fully-integrated organization. The core markets
of the company include Florida, Georgia, Maryland, Missouri,
Mississippi, North Carolina, South Carolina, Tennessee and
Recently, Highwoods reported second quarter 2012 adjusted FFO
(Funds from Operations) of 70 cents, in line with the Zacks
Consensus Estimate and 11.1% higher than the year-ago adjusted FFO
of 63 cents. We presently have a long-term Neutral recommendation
on the stock. Also, the company carries a Zacks #3 Rank, which
translates into a short-term Hold rating.
Note: FFO, a widely accepted and reported measure of the
performance of REITs, is derived by adding depreciation,
amortization and other non-cash expenses to net income.