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Colonial Properties Trust Sells Interest in Parkway Place Mall Joint Venture

^{Published on 2010-10-04 07:40:51 - Market Wire}
 

BIRMINGHAM, Ala.--([ BUSINESS WIRE ])--Colonial Properties Trust (NYSE: CLP), a real estate investment trust (REIT), announced the sale of its remaining 50% interest in the Parkway Place Mall in Huntsville, Ala. to joint venture partner CBL & Associates Properties, Inc. The companya™s interest was sold for total consideration of $38.8 million, comprised of $17.9 million in cash and CBLa™s assumption of the companya™s $20.9 million share of the existing loan secured by the property. Proceeds from the sale were used to repay a portion of the outstanding balance on the companya™s unsecured line of credit.

"The disposition of our joint venture interest in Parkway Place is another step in the execution of our strategy to simplify the business, sell our non-core assets and pay down debt"

aThe disposition of our joint venture interest in Parkway Place is another step in the execution of our strategy to simplify the business, sell our non-core assets and pay down debt,a stated Thomas H. Lowder, Chairman and Chief Executive Officer.

About Colonial Properties Trust

Colonial Properties Trust is a real estate investment trust (REIT) that creates value for its shareholders through a multifamily focused portfolio and the management and development of select commercial assets in the Sunbelt region of the United States. As of June 30, 2010, the company owned or managed 34,230 apartment units and 17.8 million square feet of commercial space. Headquartered in Birmingham, Alabama, Colonial Properties Trust is listed on the New York Stock Exchange under the symbol CLP and is included in the S&P SmallCap 600 Index.

Safe Harbor Statement

Certain statements in this press release may constitute, aforward-looking statementsa within the meaning of the federal securities law and involve known and unknown risks, uncertainties and other factors that may cause the companya™s actual results, performance, achievements or transactions to be materially different from the results, performance, achievements or transactions expressed or implied by the forward looking statements. Factors that impact such forward looking statements include, among others, real estate conditions and markets, including recent deterioration in the multifamily market and the strength or duration of the current recession or recovery; increased exposure, as a multifamily focused REIT, to risks inherent in investments in a single industry; ability to obtain financing on reasonable rates, if at all; performance of affiliates or companies in which we have made investments; changes in operating costs; higher than expected construction costs; uncertainties associated with the timing and amount of real estate dispositions, including our existing inventory of condominium and for-sale residential assets; legislative or regulatory decisions; our ability to continue to maintain our status as a REIT for federal income tax purposes; price volatility, dislocations and liquidity disruptions in the financial markets and the resulting impact on availability of financing; the effect of any rating agency action on the cost and availability of new debt financings; level and volatility of interest rates or capital market conditions; effect of any terrorist activity or other heightened geopolitical crisis; or other factors affecting the real estate industry generally.

Except as otherwise required by the federal securities laws, the company assumes no responsibility to update the information in this press release.