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Armada Hoffler (AHH) Closes Public Offering of 6.9M Shares

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Armada Hoffler Properties, Inc. (AHH - Free Report) announced the closing of the public offering of 6.9 million common shares at a price of $13 per share. This move has generated net proceeds of around $85.4 million and has added to the financial flexibility of this Virginia Beach-based residential real estate investment trust.

Armada Hoffler Properties is engaged in developing, building, owning and managing office, retail and multifamily properties primarily in the U.S. Its properties are situated in Virginia and North Carolina. The company plans to utilize the net proceeds accrued from the offering for partially repaying its indebtedness under its unsecured revolving credit facility. Also, the company intends to utilize the proceeds for financing development pipeline and for general corporate purposes.

Shares of Armada Hoffler Properties underperformed the Zacks categorized REIT and Equity Trust - Residential industry in the last three months. Shares of the company lost 6.9%, whereas the industry gained 1.3%. Also, in the last seven days, its full-year 2017 funds from operations (FFO) per share estimates moved down.



Armada Hoffler Properties currently carries a Zacks Rank #3 (Hold).

Investors interested in the REIT space, may consider stocks like American Tower Corporation (AMT - Free Report) , Arbor Realty Trust, Inc. (ABR - Free Report) and Equity LifeStyle Properties, Inc. (ELS - Free Report) , each carrying a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

In the last 30 days, American Tower Corporation’s FFO per share for second-quarter 2017 increased 1.3% to $1.55.

In the last 30 days, Arbor Realty Trust’s FFO per share for second-quarter 2017 remained unchanged at 19 cents.

Equity LifeStyle Properties’ second-quarter 2017 FFO per share estimates decreased 1.2% to 81 cents in the last 30 days.

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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