This decrease is primarily due to the addition of underleased
development and acquisition properties to the in-service portfolio, and the consolidation of a 407,000 square foot tenant, for which a termination fee was received.
Wattles, Co-Chairman and Chief Investment Officer, said SCI's Market Officer Group continues to identify underleased
and undermanaged investment opportunities at the local level.
While REITs may outmuscle pension funds for properties, with high net-operating-income returns that can support their dividends, pension funds are cornering the market for underleased
properties and are even beginning to entertain development projects.
We intend to do for Valley Forge Office Center what we did at neighboring property Crossroads at Valley Forge: take an underleased
, neglected property, and create significant shareholder value through redevelopment, and the application of property management and marketing expertise.
These acquisitions are consistent with SCI's strategy to focus on underleased
and undermanaged assets.