67 WALL STREET, New York - June 18, 2013 - The Wall Street Transcript has just published its REITs Report offering a timely review of the sector to serious investors and industry executives. This special feature contains expert industry commentary through in-depth interviews with public company CEOs and Equity Analysts. The full issue is available by calling (212) 952-7433 or via The Wall Street Transcript Online.
Topics covered: Acquisition and Financing Costs - Pricing Power Outlook - Residential and Commercial REITs - Inexpensive Access to Capital - Apartment, Lodging, Self-Storage and Office REITs
Companies include: Parkway Properties Inc. (PKY) and many more.
In the following excerpt from the REITs Report, the President and CEO & the EVP, CIO and CFO of Parkway Properties, Inc. (PKY) discuss company strategy and the outlook for this vital industry:
TWST: Do you have a goal of a certain dollar amount of acquisitions for the year?
Mr. Heistand: When we took over, the first thing that we did was dispose of the assets that we just mentioned that had a huge capital load and didn't provide much cash flow to the company. By selling off those assets, we dramatically improved our cash flow position. In May of 2012, we were able to bring in a private equity group, TPG, to infuse $200 million in capital into the company, and since then we were able to complete two successful market equity raises; one in December of last year and another in March of this year. Each of these equity raises were used to fund our growth through the property acquisitions we've mentioned.
I think that as we look forward now, we believe that we have access to capital for the right acquisitions, and our pipeline remains very robust. We are very proactive in our approach to acquisition opportunities. We're not waiting for something to come to the market. Once we've identified a targeted submarket, we're calling on owners in the area where we believe we want to aggregate assets and seeing if we can find something off-market opportunistically. A good chunk of the properties that we bought has been sourced that way.
TWST: Tell us more about your access to capital to finance growth now and going forward.
Mr. O'Reilly: We've been very active in the capital markets over the past 12 months, as Jim mentioned, raising nearly $600 million in a combination of a private placement of equity and two publicly marketed equity raises. As a REIT, we are paying out a substantial...
For more of this interview and many others visit the Wall Street Transcript - a unique service for investors and industry researchers - providing fresh commentary and insight through verbatim interviews with CEOs, portfolio managers and research analysts. This special issue is available by calling (212) 952-7433 or via The Wall Street Transcript Online.