EastGroup REIT Buys Three Dallas Buildings for $6.6m
Mississippi-based real estate investment trust (REIT), EastGroup Properties (EGP) closed a large business distribution deal this week with the acquisition of three Dallas buildings. The buildings, located along the Stemmons Freeway, contain 227,000 square feet and went for $6,675m. The first order of business for EastGroup is to change the names of the building, which are 87% occupied by six clients, to Interstate Distribution Center V, VI and VII. David H. Hoster II, president and chief executive said the purchase will expand EastGroup into an "in-fill" submarket "where we have a successful existing base of assets," he said. "It increases our cluster of business distribution properties there to over 800,000 square feet in ten buildings," he adds. Despite the down commercial real estate market, Hoster adds that not all business are suffering: "We are continuing to look for additional acquisition opportunities in our major markets." EastGroup Properties is a self-administered equity real estate investment trust focused on the development, acquisition and operation of industrial properties in major Sunbelt markets throughout the US with an emphasis in the states of Florida, Texas, Arizona and California. Write to Jacob Gaffney.