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Corporate Office Properties Starts Build-to-Suit Project

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Corporate Office Properties Trust has accomplished a long-term lease deal with a subsidiary of an investment-grade company. With this latest transaction, the Columbia, MD-based real estate investment trust (“REIT”) closed 786,000 square feet of development leasing. This indicates that the company has exceeded its annual development leasing goal of 700,000 square feet.

Corporate Office Properties mainly focuses on the ownership, management, leasing, acquisition and development of office and data center properties in select locations in the U.S. On Sep 30, the core portfolio of the company included 146 office properties, spanning an area of 15.9 million square feet. As of the same date, its portfolio was 94.4% leased.

With this latest deal, the company commenced 215,000 square feet build-to-suit project on land in Manassas, VA, for a strategic tenant. Corporate Office Properties is likely to deliver the project before third-quarter 2017 end.

Currently, Corporate Office Properties has a Zacks Rank #3 (Hold). Over the past 30 days, its current-quarter FFO estimates remained unchanged at 51 cents.

Some better-ranked stocks in the same space include Seritage Growth Properties (SRG - Free Report) , Alexandria Real Estate Equities, Inc. (ARE - Free Report) and CubeSmart (CUBE - Free Report) . While Seritage Growth Properties sports a Zacks Rank #1 (Strong Buy), both Alexandria Real Estate Equities and CubeSmart carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Seritage Growth Properties’ current quarter estimates have moved up 1.7% over the past one month to 59 cents.

Current-quarter estimates for Alexandria Real Estate Equities and CareTrust REIT remained unchanged at $1.43 and 37 cents, respectively, over the past month.

Note: FFO, a widely used metric to gauge the performance of REITs, is obtained after adding depreciation and amortization and other non-cash expenses to net income. All EPS numbers presented in this write up represent FFO per share.

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