DDR Sees 2014 Operating FFO/Shr Of $1.17 - $1.21; Ups Q1 Dividend 15%

(RTTNews) - DDR Corp. (DDR) highlighted the achievement of its 2013 strategic objectives and issued its outlook for 2014.

In 2013, DDR continued its sector-leading operational performance as the firm leased more than 10 million square feet for the fifth consecutive year and increased the portfolio leased rate to 95.1%, the highest level since 2008. The company completed $2.8 billion of capital transactions and consolidated financing activities in 2013.

DDR closed $2.33 billion of prime shopping center acquisitions and $433 million of non-prime dispositions. DDR's share of 2013 acquisitions and dispositions was $1.92 billion and $296 million, respectively. The company purchased the final 95% stake in 30 prime power centers from its existing joint venture with Blackstone Real Estate Partners VII for $1.46 billion. Also, it issued $827 million of common equity at an average price of $18.76 per share to fund the net investment in prime shopping centers; issued $150 million, 6.25% Class K preferred stock to redeem $150 million, 7.375% Class H preferred stock; as well as issued $300 million, 10-year, 3.375% senior unsecured notes, with net proceeds used to fund the acquisition of prime shopping centers from an existing joint venture with Blackstone.

Additionally, the firm provided its 2014 guidance, by expecting operating FFO per share of $1.17 - $1.21, an increase of 5.4% to 9.0% over the midpoint of the latest 2013 forecast. Also, it anticipates to generate same-store NOI growth of 2.5% to 3.5%, excluding major redevelopment activity.

Separately, DDR declared its first-quarter 2014 common stock dividend of $0.155 per share, representing an increase of 15% from the first quarter of 2013, which is payable on April 8, 2014 to shareholders of record at the close of business on March 13, 2014. Based on the most recent closing price, the new dividend represents a yield of 4.0% on an annualized basis.