Urban Edge Properties
For the period ended Dec 31, 2023. Filed Feb 14, 2024.
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FY2023 · Filed Feb 14, 2024
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Item 2. PROPERTIES
As of December 31, 2023, our portfolio was comprised of 71 shopping centers, two outlet centers, two malls and one industrial building totaling approximately 17.1 million sf. We own our two outlet centers, one mall, one industrial building and 56 shopping centers 100% in fee simple. We own a 95% interest in Walnut Creek (Mt. Diablo), an 82.5% interest in Sunrise Mall in Massapequa, NY and lease 14 of our shopping centers under ground and/or building leases. As of December 31, 2023, we had $1.6 billion of outstanding mortgage indebtedness which is secured by our properties. The following pages provide details of our properties as of December 31, 2023.
| Property | Total Square Feet (1) | Percent Leased(1) | Weighted Average Annual Rent per sq ft (2) | Major Tenants |
|---|---|---|---|---|
| RETAIL PORTFOLIO: | ||||
| California: | ||||
| Walnut Creek (Mt. Diablo)(4) | 7,000 | 100.0% | $69.26 | Sweetgreen |
| Walnut Creek (Olympic) | 31,000 | 100.0% | 80.50 | Anthropologie |
| Connecticut: | ||||
| Newington Commons | 189,000 | 90.0% | 9.50 | Walmart, Staples |
| Maryland: | ||||
| Goucher Commons | 155,000 | 92.5% | 26.52 | Sprouts, HomeGoods, Five Below, Ulta, Kirkland's, DSW, Golf Galaxy |
| Rockville Town Center | 98,000 | 100.0% | 16.51 | Regal Entertainment Group |
| Wheaton (leased through 2060)(3) | 66,000 | 100.0% | 18.35 | Best Buy |
| Woodmore Towne Centre | 712,000 | 97.7% | 18.07 | Costco, Wegmans, At Home, Best Buy, LA Fitness, Nordstrom Rack |
| Massachusetts: | ||||
| Cambridge (leased through 2033)(3) | 48,000 | 100.0% | 28.06 | PetSmart, Central Rock Gym |
| Gateway Center(6) | 640,000 | 100.0% | 9.69 | Costco, Target, Home Depot, Total Wine |
| Shoppers World(6) | 752,000 | 100.0% | 22.50 | T.J. Maxx, Marshalls, Home Sense, Sierra Trading, Public Lands, Golf Galaxy, Nordstrom Rack, Hobby Lobby, AMC, Kohl's, Best Buy |
| The Shops at Riverwood | 79,000 | 100.0% | 24.95 | Price Rite, Planet Fitness, Goodwill |
| Wonderland Marketplace | 140,000 | 100.0% | 14.05 | Big Lots, Planet Fitness, Marshalls, Get Air |
| Missouri: | ||||
| Manchester Plaza | 131,000 | 100.0% | 11.91 | Pan-Asia Market, Academy Sports, Bob's Discount Furniture |
| New Hampshire: | ||||
| Salem (leased through 2102)(3) | 39,000 | 100.0% | 10.40 | Fun City |
| New Jersey: | ||||
| Bergen Town Center - East | 253,000 | 92.1% | 21.97 | Lowe's, Best Buy, REI |
| Bergen Town Center - West | 1,018,000 | 96.3% | 32.05 | Target, Whole Foods Market, Burlington, Marshalls, Nordstrom Rack, Saks Off 5th, HomeGoods, H&M, Bloomingdale's Outlet, Nike Factory Store, Old Navy, Kohl's |
|---|---|---|---|---|
| Briarcliff Commons | 180,000 | 94.8% | 24.65 | Uncle Giuseppe's, Kohl's |
| Brick Commons | 273,000 | 98.7% | 21.07 | ShopRite, Kohl's, Marshalls, Old Navy |
| Brunswick Commons | 427,000 | 100.0% | 15.16 | Lowe's, Kohl's, Dick's Sporting Goods, P.C. Richard & Son, T.J. Maxx, LA Fitness |
| Carlstadt Commons (leased through 2050)(3) | 78,000 | 98.3% | 24.26 | Stop & Shop |
| Garfield Commons | 298,000 | 100.0% | 16.28 | Walmart, Burlington, Marshalls, PetSmart, Ulta |
| Greenbrook Commons | 170,000 | 95.9% | 18.64 | BJ's Wholesale Club, Aldi |
| Hackensack Commons | 275,000 | 99.2% | 25.89 | The Home Depot, 99 Ranch, Staples, Petco |
| Hanover Commons | 343,000 | 99.3% | 21.86 | The Home Depot, Dick's Sporting Goods, Saks Off Fifth, Marshalls |
| Hazlet | 95,000 | 100.0% | 3.96 | Stop & Shop(5) |
| Hudson Mall | 381,000 | 83.0% | 18.34 | Marshalls, Big Lots, Retro Fitness, Staples, Old Navy |
| Hudson Commons | 236,000 | 100.0% | 14.02 | Lowe's, P.C. Richard & Son |
| Kearny Commons | 121,000 | 100.0% | 24.47 | LA Fitness, Marshalls, Ulta |
| Kennedy Commons | 62,000 | 100.0% | 15.56 | Food Bazaar |
| Lodi Commons | 43,000 | 100.0% | 20.69 | Dollar Tree |
| Manalapan Commons | 200,000 | 93.7% | 23.17 | Best Buy, Raymour & Flanigan, PetSmart, Avalon Flooring, Atlantic Health (lease not commenced), national apparel retailer (lease not commenced) |
| Marlton Commons | 214,000 | 100.0% | 16.69 | ShopRite, Kohl's, PetSmart |
| Millburn | 104,000 | 89.5% | 29.05 | Trader Joe's, CVS, PetSmart |
| Montclair | 18,000 | 100.0% | 32.00 | Whole Foods Market |
| Paramus (leased through 2033)(3) | 63,000 | 100.0% | 49.97 | 24 Hour Fitness |
| Plaza at Cherry Hill | 417,000 | 83.1% | 13.42 | Aldi, Total Wine, LA Fitness, Raymour & Flanigan, Guitar Center, Sam Ash Music |
| Plaza at Woodbridge | 331,000 | 81.2% | 20.36 | Best Buy, Raymour & Flanigan, Lincoln Tech, UFC Gym (lease not commenced), and buybuy Baby |
| Rockaway River Commons | 189,000 | 96.8% | 15.25 | ShopRite, T.J. Maxx |
| Rutherford Commons | 196,000 | 100.0% | 13.32 | Lowe's |
| Stelton Commons (leased through 2039)(3) | 56,000 | 100.0% | 21.77 | Staples, Party City |
| Tonnelle Commons | 410,000 | 100.0% | 22.04 | BJ's Wholesale Club, Walmart, PetSmart |
| Totowa Commons | 272,000 | 93.4% | 21.74 | The Home Depot, Staples, national tenant (lease not commenced) |
| Town Brook Commons | 231,000 | 97.0% | 13.45 | Stop & Shop, Kohl's |
| Union (Vauxhall) | 232,000 | 100.0% | 17.85 | The Home Depot |
| West Branch Commons | 279,000 | 96.1% | 16.07 | Lowe's, Burlington |
| West End Commons | 241,000 | 100.0% | 11.80 | Costco, The Tile Shop, La-Z-Boy, Petco, Da Vita Dialysis |
| Woodbridge Commons | 225,000 | 100.0% | 13.59 | Walmart, Dollar Tree, Advance Auto Parts |
| New York: | ||||
| Amherst Commons | 312,000 | 90.1% | 10.74 | BJ's Wholesale Club, Burlington, LA Fitness |
| Bruckner Commons(6) | 351,000 | 85.5% | 35.55 | ShopRite, Burlington |
| Shops at Bruckner(6) | 113,000 | 100.0% | 39.04 | Aldi, Marshalls, Five Below, Old Navy |
| Burnside Commons | 100,000 | 89.3% | 17.40 | Bingo Wholesale (leased not commenced) |
| Cross Bay Commons | 44,000 | 95.8% | 40.80 | Northwell Health |
| Dewitt (leased through 2041)(3) | 46,000 | 100.0% | 19.36 | Best Buy |
| Forest Commons | 165,000 | 96.6% | 25.02 | Western Beef, Planet Fitness, Advance Auto Parts, NYC Public School |
| Gun Hill Commons | 81,000 | 100.0% | 38.03 | Aldi, Planet Fitness |
| Henrietta Commons(leased through 2056)(3) | 165,000 | 97.9% | 4.69 | Kohl's |
| Huntington Commons | 208,000 | 96.5% | 21.81 | ShopRite, Marshalls, Old Navy, Petco, Burlington |
| Kingswood Crossing | 107,000 | 84.4% | 44.42 | Target, Marshalls, Maimonides Medical, Visiting Nurse Services (lease not commenced) |
| Meadowbrook Commons (leased through 2040)(3) | 44,000 | 100.0% | 22.31 | Bob's Discount Furniture |
| Mount Kisco Commons | 189,000 | 100.0% | 17.63 | Target, Stop & Shop |
|---|---|---|---|---|
| New Hyde Park (leased through 2029)(3) | 101,000 | 100.0% | 21.93 | Stop & Shop |
| Yonkers Gateway | 448,000 | 94.9% | 20.16 | Burlington, Marshalls, Homesense, Best Buy, DSW, PetSmart, Alamo Drafthouse Cinema |
| Pennsylvania: | ||||
| Broomall Commons(6) | 168,000 | 75.8% | 16.40 | Amazon Fresh, Planet Fitness, PetSmart, Nemours Children's Hospital |
| Lincoln Plaza | 228,000 | 100.0% | 5.27 | Lowe's, Community Aid, Mattress Firm |
| MacDade Commons | 102,000 | 100.0% | 12.96 | Walmart |
| Marten Commons | 185,000 | 100.0% | 15.14 | Kohl's, Ross Dress for Less, Staples, Petco |
| Springfield (leased through 2025)(3) | 41,000 | 100.0% | 25.29 | PetSmart |
| Wilkes-Barre Commons | 184,000 | 100.0% | 13.12 | Bob's Discount Furniture, Ross Dress for Less, Marshalls, Petco, Wren Kitchen |
| Wyomissing (leased through 2065)(3) | 76,000 | 100.0% | 14.83 | LA Fitness, PetSmart |
| South Carolina: | ||||
| Charleston (leased through 2063)(3) | 45,000 | 100.0% | 15.96 | Best Buy |
| Virginia: | ||||
| Norfolk (leased through 2069)(3) | 114,000 | 100.0% | 7.79 | BJ's Wholesale Club |
| Puerto Rico: | ||||
| Shops at Caguas | 356,000 | 90.6% | 30.02 | Sector Sixty6, Forever 21, Old Navy |
| The Outlets at Montehiedra(6) | 531,000 | 95.4% | 21.75 | The Home Depot, Marshalls, Caribbean Cinemas, Old Navy, Ralph's Food Warehouse (lease not commenced), T.J. Maxx (lease not commenced), Burlington (lease not commenced) |
| Total Retail Portfolio | 15,522,000 | 95.9% | $19.93 | |
| INDUSTRIAL: | ||||
| Lodi Route 17 | 127,000 | 100.0% | 13.35 | AAA Wholesale Group |
| Total Industrial | 127,000 | 100.0% | $13.35 | |
| Kingswood Center(6) | 129,000 | 73.5% | 26.61 | T.J. Maxx, Visiting Nurse Service of NY |
| Sunrise Mall(4)(6)(7) | 1,228,000 | 30.5% | 10.55 | Macy's, Dick's Sporting Goods, Dave & Busters, Home Goods |
| Total Urban Edge Properties | 17,006,000 | 91.0% | $19.69 | |
(1) Percent leased is expressed as the percentage of gross leasable area subject to a lease, excluding temporary tenants. The Company also excludes 58,000 sf of self-storage from the report above.
(2) Weighted average annual rent per square foot including ground leases and executed leases for which rent has not commenced is calculated by annualizing tenants’ current base rent (excluding any free rent periods), and excluding tenant reimbursements, concessions and storage rent. Excluding the ground leases where the Company is the lessor, the weighted average annual rent per square foot for our retail portfolio is $22.47 per square foot.
(3) The Company is a lessee under a ground or building lease. The total square feet disclosed for the building will revert to the lessor upon lease expiration.
(4) We own 95% of Walnut Creek (Mt. Diablo) and 82.5% of Sunrise Mall with the remaining portions in each case owned by joint venture partners.
(5) The tenant never commenced operations at this location but continues to pay rent.
(6)Not included in the same-property pool for the purposes of calculating same-property NOI for the quarter ended December 31, 2023 and 2022.
(7)A portion of the property is under a ground lease through 2069.
As of December 31, 2023, we had approximately 1,000 leases. Tenant leases under 10,000 square feet generally have lease terms of five years or less. Tenant leases comprising 10,000 square feet or more generally have lease terms of 10 to 25 years and are considered anchor leases with one or more renewal options available upon expiration of the initial lease term. The majority of our leases provide for reimbursements of real estate taxes, insurance and common area maintenance charges (including roof and structure in shopping centers, unless it is the tenant’s direct responsibility), and percentage rents based on tenant sales volume. Percentage rents accounted for approximately 1% of our total revenues for the year ended December 31, 2023.
Occupancy
The following table sets forth the consolidated retail portfolio leased occupancy rate (excluding industrial and self-storage space), square footage and weighted average annual base rent per square foot of properties in our retail portfolio as of December 31 for the last five years:
| December 31, | ||||||||
|---|---|---|---|---|---|---|---|---|
| 2023(1) | 2022(1) | 2021(1) | 2020 | 2019 | ||||
| Total square feet | 15,522,000 | 14,495,000 | 14,469,000 | 15,221,000 | 14,277,000 | |||
| Occupancy rate | 95.9% | 94.3% | 91.1% | 88.7% | 92.4% | |||
| Average annual base rent per sf | $19.93 | $19.89 | $19.70 | $18.97 | $19.22 | |||
(1)Excludes Sunrise Mall and Kingswood Center for the year ended December 31, 2023, and also excludes Sunrise Mall for the years ended December 31, 2022 and 2021.
The following table sets forth the occupancy rate, square footage and weighted average annual base rent per square foot of our industrial properties as of December 31 for the last five years:
| December 31, | |||||
|---|---|---|---|---|---|
| 2023 | 2022 | 2021 | 2020 | 2019 | |
| Total square feet | 127,000 | 1,345,000 | 1,345,000 | 1,070,000 | 943,000 |
| Occupancy rate | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% |
| Average annual base rent per sf | $13.35 | $8.89 | $6.04 | $6.34 | $5.70 |
Major Tenants
The following table sets forth information for our ten largest tenants by total revenues for the year ended December 31, 2023:
| Tenant | Number of Stores | Square Feet | % of Total Square Feet | 2023 Revenues(1) (in thousands) | % of Total Revenues |
|---|---|---|---|---|---|
| The Home Depot | 6 | 770,742 | 4.6% | $21,513 | 5.2% |
| The TJX Companies(2) | 22 | 723,350 | 4.3% | 18,476 | 4.4% |
| Lowe's Companies | 6 | 976,415 | 5.8% | 14,200 | 3.4% |
| Walmart | 5 | 708,435 | 4.2% | 12,915 | 3.1% |
| Kohl’s | 9 | 855,561 | 5.1% | 11,910 | 2.9% |
| Best Buy | 9 | 409,641 | 2.4% | 11,026 | 2.6% |
| Burlington | 8 | 441,270 | 2.6% | 10,639 | 2.6% |
| ShopRite | 5 | 361,683 | 2.1% | 9,926 | 2.4% |
| BJ's Wholesale Club | 4 | 454,297 | 2.7% | 8,719 | 2.1% |
| PetSmart | 12 | 278,451 | 1.6% | 8,044 | 1.9% |
(1)Based on contractual revenues as determined by the tenants’ operating lease agreements.
(2)Includes Marshalls (14), T.J. Maxx (3), HomeGoods (3) and Homesense (2).
Lease Expirations
The following table sets forth the anticipated expirations of tenant leases in our consolidated retail portfolio for each year from 2023 through 2034 and thereafter, assuming no exercise of renewal options or early termination rights:
| Percentage of · Weighted Average Annual | ||||||
|---|---|---|---|---|---|---|
| Number of · Square Feet of · Retail Properties · Base Rent of Expiring Leases | ||||||
| Year · Expiring Leases · Expiring Leases · Square Feet · Total · Per Square Foot | ||||||
| Month-To-Month | 35 | 122,000 | 0.8% | $3,612,420 | $29.61 | |
| 2024 | 61 | 679,000 | 4.4% | 12,262,740 | 18.06 | |
| 2025 | 110 | 1,518,000 | 9.8% | 29,509,920 | 19.44 | |
| 2026 | 114 | 1,070,000 | 6.9% | 26,632,300 | 24.89 | |
| 2027 | 118 | 1,387,000 | 8.9% | 23,842,530 | 17.19 | |
| 2028 | 101 | 1,287,000 | 8.3% | 32,059,170 | 24.91 | |
| 2029 | 120 | 2,376,000 | 15.3% | 53,958,960 | 22.71 | |
| 2030 | 53 | 1,438,000 | 9.3% | 19,628,700 | 13.65 | |
| 2031 | 36 | 1,143,000 | 7.4% | 18,139,410 | 15.87 | |
| 2032 | 52 | 459,000 | 3.0% | 10,006,200 | 21.80 | |
| 2033 | 53 | 808,000 | 5.2% | 15,448,960 | 19.12 | |
| 2034 | 54 | 901,000 | 5.8% | 20,317,550 | 22.55 | |
| Thereafter | 49 | 1,691,000 | 10.8% | 31,046,760 | 18.36 | |
| Subtotal/Average | 956 | 14,879,000 | 95.9% | $296,538,470 | $19.93 | |
| Vacant | 148 | 643,000 | 4.1% | N/A | N/A | |
| Total(1) | 1,104 | 15,522,000 | 100.0% | $296,538,470 | N/A | |
(1) Total lease count excludes industrial tenant leases, temporary tenant leases, cart and kiosk leases, Sunrise Mall and Kingswood Center.
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.