JACKSON, MISSISSIPPI, February 1, 2016 – EastGroup Properties, Inc. (NYSE: EGP) announced today the results of its operations for the three and twelve months ended December 31, 2015.
Commenting on EastGroup’s performance, Marshall Loeb, CEO, stated, “During the fourth quarter, we continued our steady growth in funds from operations with a 3.3% increase in FFO per share as compared to the same quarter last year. For the full year 2015, FFO per share grew 5.8% as compared to 2014. We have now achieved FFO per share increases as compared to the previous year’s quarter in eighteen of the last nineteen quarters and year-to-year increases for the past five years. In addition, 2015 FFO per share is the highest in EastGroup’s history.
“Quarter-end occupancy was 96.1% which was our tenth consecutive quarter of 95% or above which basically represents stabilized full occupancy for a multi-tenant industrial company. This occupancy and positive rent spreads generated positive same property net operating income growth with and without straight-line rent adjustments. This is further significant given a material decline in lease termination fees versus 2014.
“During 2016, we plan to prudently recycle capital and start new developments which will further geographically diversify our portfolio by year-end. Towards that end, we are pleased to see forecasted annual development starts remain consistent with prior years at roughly $100 million. Our development program has been a great creator of value for our shareholders.”