Continues to execute external growth
strategy
with addition of open-air shopping center in popular
tourism-focused market
GREENSBORO, N.C.,
Nov. 13,
2023 /PRNewswire/
-- Tanger® (NYSE: SKT), a leading
operator of upscale, open-air shopping centers, announced today
that it has acquired its 38th shopping center, Asheville Outlets,
as part of the continued execution of the company's external growth
strategy. Tanger acquired the center for $70
million in an all-cash, off-market transaction, leveraging
the company's platform and utilizing its cash holdings and strong
balance sheet to create value for all stakeholders. Asheville
Outlets is the second fully owned addition to Tanger's outlet
portfolio this quarter, following the grand opening of Tanger
Outlets Nashville in Tennessee
last month.
Asheville Outlets is a 382,000-square-foot, open-air shopping
center located in the popular tourist market of Asheville, North Carolina. The established
center is currently 95 percent occupied by a diverse mix of brands
that includes leading home furnishings providers as well as iconic
apparel, footwear and accessories brands. Management expects the
center to deliver a first-year return in the mid-eight percent
range, with potential for additional growth over time.
"We are excited to add Asheville Outlets to the Tanger
portfolio. Asheville is a dynamic
and growing market with outsized potential," said Stephen Yalof, President and CEO of Tanger.
"Asheville Outlets is the dominant shopping experience in the
market and will benefit from the rapidly growing residential
population and tourist visits for years to come. As part of the
Tanger platform, we will drive additional value by increasing
center productivity through selective re-merchandising, elevating
the center's food and beverage offerings and adding high performing
retail partners."
Asheville Outlets' mix of 70 stores includes top apparel and
footwear brands such as Nike, Under Armour, American Eagle, COACH,
J.Crew, Vera
Bradley, Abercrombie & Fitch, and Bath & Body Works,
as well as national home furnishings providers including RH, West
Elm, Crate & Barrel and Le Creuset. The center also offers two
attractive anchor department stores, including Sportsman's
Warehouse and a separately-owned Dillard's Clearance Center.
Asheville Outlets benefits from proximity to the area's top
attractions, including The Biltmore Estate, Blue Ridge Parkway, and
the Grove Park Inn and North Carolina Arboretum. Asheville also boasts a vibrant arts community
and renowned music scene and was named the No. 1 Food Destination
in the U.S. in 2022 by Travel + Leisure magazine. Earlier
this year, the Asheville Regional Airport commenced a $400 million dollar expansion of its passenger
terminal that will increase capacity by 150%, to better accommodate
the rapidly growing city's more than 12 million annual visitors. To
capitalize on Asheville's
desirable blend of tourist attractions and outdoor lifestyle, the
shopping center at Asheville Outlets was fully redeveloped and
converted by the seller in 2015 from an indoor regional mall to the
open-air outlet shopping center it is today.
Tanger will officially transition the center to become Tanger
Outlets Asheville in early January
2024, leveraging the Tanger name, brand and platform to
further strengthen leasing, sales and traffic for the center.
Center guests can continue to expect access to community-centric
programming and events, which will be expanded to include Tanger's
national charitable initiatives such as TangerKids and TangerPink,
as well as best-in-class operations for wellness, security and
sustainability to support the Asheville community.
For more information, please visit tanger.com/asheville.
About Tanger®
Tanger Factory Outlet Centers, Inc. (NYSE: SKT), a leading operator
of upscale open-air outlet centers, fully or partially owns and/or
manages a portfolio of 38 shopping centers in 20 U.S. states and
Canada. Tanger's centers comprise
over 14 million square feet and are leased to over 3,000 stores
operated by more than 700 different brand name companies. Tanger
has more than 42 years of experience in the outlet industry and has
been a publicly traded REIT since 1993. For more information on
Tanger, call 1-800-4TANGER or visit tanger.com.
Safe Harbor Statement
This news release contains
certain forward-looking statements within the meaning of Section
27A of the Securities Act of 1933, as amended, and Section 21E of
the Securities Exchange Act of 1934, as amended. The Company
intends such forward-looking statements to be covered by the safe
harbor provisions for forward-looking statements contained in the
Private Securities Litigation Reform Act of 1995 and includes this
statement for purposes of complying with the safe harbor
provisions. Forward-looking statements, which are based on certain
assumptions and describe the Company's future plans, strategies and
expectations, are generally identifiable by use of the words
"believe," "expect," "intend," "anticipate," "estimate," "project,"
"will," "forecast" or similar expressions, and include the
Company's expectations regarding future financial results and
assumptions underlying that guidance, long-term growth, trends in
retail traffic and tenant revenues, development initiatives and
strategic partnerships, the anticipated impact of the Company's
newly-opened Nashville development
and related costs and anticipated yield, expectations regarding
operational metrics, renewal trends, new revenue streams, its
strategy and value proposition to retailers, participation in
upcoming events, uses of and efforts to reduce costs of capital,
liquidity, dividend payments and cash flows.
You should not rely on forward-looking statements since they
involve known and unknown risks, uncertainties and other important
factors which are, in some cases, beyond our control and which
could materially affect our actual results, performance or
achievements. Important factors which may cause actual results to
differ materially from current expectations include, but are not
limited to: our inability to develop new outlet centers or expand
existing outlet centers successfully; risks related to the economic
performance and market value of our outlet centers; the relative
illiquidity of real property investments; impairment charges
affecting our properties; our dispositions of assets may not
achieve anticipated results; competition for the acquisition and
development of outlet centers, and our inability to complete outlet
centers we may identify; environmental regulations affecting our
business; risks associated with possible terrorist activity or
other acts or threats of violence and threats to public safety;
risks related to the impact of macroeconomic conditions, including
rising interest rates and inflation, on our tenants and on our
business, financial condition, liquidity, results of operations and
compliance with debt covenants; our dependence on rental income
from real property; our dependence on the results of operations of
our retailers and their bankruptcy, early termination or closing
could adversely affect us; the fact that certain of our properties
are subject to ownership interests held by third parties, whose
interests may conflict with ours; risks related to climate change;
increased costs and reputational harm associated with the increased
focus on environmental, sustainability and social initiatives;
risks related to uninsured losses; the risk that consumer, travel,
shopping and spending habits may change; risks associated with our
Canadian investments; risks associated with attracting and
retaining key personnel; risks associated with debt financing;
risks associated with our guarantees of debt for, or other support
we may provide to, joint venture properties; the effectiveness of
our interest rate hedging arrangements; uncertainty relating to the
potential phasing out of LIBOR; our potential failure to qualify as
a REIT; our legal obligation to make distributions to our
shareholders; legislative or regulatory actions that could
adversely affect our shareholders, including the recent changes in
the U.S. federal income taxation of U.S. businesses; our dependence
on distributions from the Operating Partnership to meet our
financial obligations, including dividends; the risk of a
cyber-attack or an act of cyber-terrorism and other important
factors set forth under Item 1A - "Risk Factors" in the Company's
and the Operating Partnership's Annual Report on Form 10-K for the
year ended December 31, 2022, as may
be updated or supplemented in the Company's Quarterly Reports on
Form 10-Q and the Company's other filings with the SEC.
Accordingly, there is no assurance that the Company's expectations
will be realized. The Company disclaims any intention or obligation
to update the forward-looking statements, whether as a result of
new information, future events or otherwise. You are advised to
refer to any further disclosures the Company makes or related
subjects in the Company's Current Reports on Form 8-K that the
Company files with the SEC.
Media Contact
Kasie Wilson
KWT Global
Tanger@kwtglobal.com
Investor Relations Contact
Doug McDonald
SVP, Finance and Capital Markets
(336) 856-6066
TangerIR@tanger.com
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SOURCE Tanger Factory Outlet Centers, Inc.