JACKSON, MISSISSIPPI, June 2, 2022 — EastGroup Properties, Inc. (NYSE: EGP) (the “Company”, “we”, “us”, or “EastGroup”) announced today its recent acquisition and disposition activity.
On June 1, 2022, EastGroup closed the acquisition of Tulloch Corporation, the owner of an industrial real estate portfolio located within the San Francisco and Sacramento markets, with properties in those locations representing 85% and 15% of total portfolio net operating income, respectively. The portfolio consists of 14 properties totaling approximately 1.7 million square feet and two land parcels totaling 10.5 acres. The properties are currently 100% leased to 37 tenants with an average remaining lease term of less than 3 years. At the time of acquisition, the annualized net operating income generated by the fully-occupied properties is approximately $17.1 million. The two land parcels will allow for the future development of approximately 215,000 square feet. EastGroup acquired Tulloch Corporation for consideration consisting of approximately 1.87 million newly issued shares of EastGroup common stock, at a negotiated price of $190 per share, and the assumption of a $60 million loan, which EastGroup intends to promptly repay with no penalty.