Federal Realty Investment Trust, Rockville, Md., has formed a joint venture with Clarion Lion Properties Fund to invest in up to $350 million in retail properties.The fund is looking for stabilized, supermarket-anchored shopping centers in East Coast and California markets, FRIT said. The real estate investment trust and Clarion Lion Properties Fund -- a fund managed by ING Clarion Partners, a New York-based real estate affiliate of the ING Group -- have committed to contributing up to $42 million and $98 million of equity capital, respectively, to acquire properties over the next 24 months, according to FRIT. The REIT has contributed a Montgomery County, Md., property valued at $20.5 million to the venture. FRIT will manage the properties on behalf of the venture and will receive fees in return. "This partnership gives Federal Realty the ability to acquire high-quality, stabilized shopping centers that may not otherwise meet the trust's property operating income growth targets," said Donald Wood, president and chief executive officer of FRIT.

Subscribe Now

Authoritative analysis and perspective for every segment of the mortgage industry

30-Day Free Trial

Authoritative analysis and perspective for every segment of the mortgage industry