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American Assets Trust (NYSE:AAT), retail and office property REIT, priced its IPO on January 12th 2011. The company raised $564 million by offering 27.5 million shares shares at $20.50, within the range of $19-$21.

Business Overview (from prospectus)

We are a full service, vertically integrated and self-administered real estate investment trust, or REIT, that owns, operates, acquires and develops high quality retail and office properties in attractive, high-barrier-to-entry markets primarily in Southern California, Northern California and Hawaii. We were formed to succeed to the real estate business of American Assets, Inc., a privately held corporation founded in 1967 and, as such, we have significant experience, long-standing relationships and extensive knowledge of our core markets, submarkets and asset classes. Our senior management team’s operational experience includes overseeing the acquisition or development of more than 9.5 million square feet of retail and office properties and more than 4,500 multifamily units, as well as the disposition of over 4.2 million square feet of retail and office properties and more than 3,600 multifamily units.

Offering: 25 million shares at $19-$21 per share. Net proceeds of approximately $342.1 million will be used for debt repayment.

Lead Underwriters: BofA Merrill Lynch (NYSE:BAC), Wells Fargo Securities (NYSE:WFC), Morgan Stanley (NYSE:MS)

Financial Highlights:

Total property revenue increased 8% to $94.3 million for the nine months ended September 30, 2010, compared to $87.4 million for the nine months ended September 30, 2009...Total property expenses increased by 27% to $25.6 million for the nine months ended September 30, 2010, compared to $20.1 million for the nine months ended September 30, 2009...General and administrative expenses decreased 3% to $4.9 million for the nine months ended September 30, 2010, compared to $5.1 million for the nine months ended September 30, 2009...Property operating income increased 2% to $68.7 million for the nine months ended September 30, 2010, compared to $67.3 million for the nine months ended September 30, 2009...Net income decreased 3% to $5.2 million for the nine months ended September 30, 2010, compared to $5.3 million for the nine months ended September 30, 2009...

Competitors

We compete with a number of developers, owners and operators of retail, office, mixed-use and multifamily real estate, many of which own properties similar to ours in the same markets in which our properties are located and some of which have greater financial resources than we do. In operating and managing our portfolio, we compete for tenants based on a number of factors, including location, rental rates, security, flexibility and expertise to design space to meet prospective tenants’ needs and the manner in which the property is operated, maintained and marketed. As leases at our properties expire, we may encounter significant competition to renew or re-let space in light of the large number of competing properties within the markets in which we operate. As a result, we may be required to provide rent concessions or abatements, incur charges for tenant improvements and other inducements, including early termination rights or below-market renewal options, or we may not be able to timely lease vacant space. In that case, our financial condition, results of operations, cash flow, per share trading price of our common stock and ability to satisfy our debt service obligations and to pay dividends to you may be adversely affected.

Additional Resources:

Source: American Assets Trust Prices IPO Within Upsized Range