Liberty Property to Open Distribution Center in Charlotte

Shutterstock photo

Liberty Property Trust LPT recently announced its plans to break ground on a distribution center at 12830 Virkler Drive in Charlotte's southwest submarket in August. The 115,500 square foot, Class A and LEED Certified, distribution center is expected to be ready by the first quarter of 2019.

This 32-foot high and 210-foot deep property will be developed jointly by DMA Architecture, Burton Engineering and Landmark Builders. It will have enhanced architecture, motion-sensor LED Lighting and enough parking spaces. The property will also provide occupants with easy access to I-485 and I-77.

The Charlotte region is a great industrial hub where demand for commercial property has been on rise. The company, earlier in 2010, had acquired 12810 Virkler Drive, which turned out to be a potential investment as the property remains fully occupied most of the times. Further, the initial months of 2018 saw the company breaking ground on two new buildings at 3923 and 3929 Shutterfly road in the Shopton Ridge Business Park in Charlotte, 90% of which were leased out even before opening.

This new development will be conducive to Liberty Property's revenues owing to the high industrial occupancy rate in Charlotte. Also, Liberty Property has been trying to fulfill the huge demand for industrial space through its continued focus on expanding the company's portfolio in this segment. While such efforts are a strategic fit for long-term growth, Liberty Property's moves to divest its office properties to increase industrial space can have near-term dilution impact on the company's earnings.

Liberty Property currently carries a Zacks Rank #3 (Hold).

The stock has outperformed the industry it belongs to in the past six months. During this time frame, the stock has gained 9.8%, whereas the industry has rallied 5.5%.

Some better-ranked stocks in the same industry include VICI Properties Inc VICI , Corrections Corp of America CXW and Cedar Realty Trust Inc CDR . VICI Properties flaunts a Zacks Rank of 1 (Strong Buy), while Corrections Corp of America and Cedar Realty Trust carry a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank stocks here .

VICI Properties's 2018 funds from operations (FFO) per share estimates have been revised 2.8% upward over the last 60 days. Also, its shares have gained 15.2% in the past three months.

Corrections Corp of America's Zacks Consensus Estimate for current-year FFO per share has been revised slightly upward in the last 60 days. The company's share price has risen almost 21% in the past three months.

Cedar Realty Trust's Zacks Consensus Estimate for current-year FFO per share has been revised 1.8% upward in the last 60 days. The company's share price has risen almost 26% in the past three months.

Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) - a widely used metric to gauge the performance of REITs.

Today's Stocks from Zacks' Hottest Strategies

It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6%, and +67.1%.

And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.

See Them Free>>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Cedar Realty Trust, Inc. (CDR): Free Stock Analysis Report

Liberty Property Trust (LPT): Free Stock Analysis Report

Corrections Corp. of America (CXW): Free Stock Analysis Report

VICI Properties Inc. (VICI): Free Stock Analysis Report

To read this article on Zacks.com click here.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

This article appears in: Investing , Business , Stocks
Referenced Symbols: CDR , LPT , CXW , VICI

More from Zacks.com




Equity Research

Research Brokers before you trade

Want to trade FX?