FOR MORE INFORMATION, CONTACT:
David H. Hoster II, President and Chief Executive Officer
N. Keith McKey, Chief Financial Officer
(601) 354-3555
Jackson, Mississippi, November 20, 2003– EastGroup Properties (NYSE-EGP) today announced the acquisition of Oak Creek Distribution Center in Tampa, Florida for a price of $4,650,000. Oak Creek, which contains 127,000 square feet, was built in 2001 and is located in the east Tampa/I-75 submarket. The property was 46% leased when it was placed under contract but is currently 84% leased. It is projected to generate an unleveraged stabilized yield upon lease-up of approximately 10.7%.
David H. Hoster II, President and CEO stated, “Oak Creek is a “state-of-the-art”, multi-tenant business distribution building which is adjacent to our Premier Beverage property. This acquisition increases our ownership in Tampa to over two million square feet.”
EastGroup Properties, Inc. is a self-administered equity real estate investment trust focused on the acquisition, ownership and development of industrial properties in major Sunbelt markets throughout the United States. Its strategy for growth is based on its property portfolio orientation toward premier distribution facilities located near major transportation centers. EastGroup’s portfolio currently includes 19.3 million square feet with an additional 604,000 square feet of properties under development.
Certain statements in this release are forward-looking and as such are based upon the Company's current belief as to the outcome and timing of future events. There can be no assurance that future developments affecting the Company will be those anticipated by the Company. These forward-looking statements involve risks and uncertainties (some of which are beyond the control of the Company) and are subject to change based upon various factors, including but not limited to the following risks and uncertainties: changes in the real estate industry and in performance of the financial markets; the demand for and market acceptance of the Company's properties for rental purposes; the amount and growth of the Company's expenses; tenant financial difficulties; and general economic conditions, including interest rates, as well as economic conditions in those areas where the Company owns properties, the risks associated with the development of real property, and other risks and uncertainties detailed from time to time in the Company's SEC filings. Should one or more of these risks or uncertainties occur, or should underlying assumptions prove incorrect, the Company's results could differ materially from those expressed in the forward-looking statements.
EastGroup Properties, Inc. press releases are available at www.eastgroup.net.
P.O. Box 22728, Jackson, MS 39225-2728
Telephone: 601/354-3555 Fax: 601/352-1441