Wegmans anchored Retail Development
Weingarten Realty Investors (NYSE: WRI) announced it has entered into a joint venture partnership with Hilltop Sand and Gravel Company, Inc. (HSG) to develop Hilltop Village Center, a 370,000 square foot, Wegmans anchored, mixed use project in Fairfax County, Virginia, located at Telegraph Road and Beulah Street in the Alexandria area of the County. The project is WRI's initial entry into the northern Virginia/DC/Baltimore market and consists of 270,000 square feet of retail space and a separate parcel to be sold for a 100,000 square foot office building development. Wegmans, one of the Mid Atlantic's top performing grocery retailers, will build a 140,000 square foot store which will open in 2014. Wegmans currently has six stores in Virginia and four stores in Maryland.
The property, which is surrounded by residential subdivisions and across the street from Fort Belvoir, a major US Army installation adding 19,000 military and civilian positions through the Base Realignment and Closure Act (BRAC), has been owned by HSG for almost 100 years. HSG has spent the last four years securing zoning through Fairfax County and closing part of a former construction debris landfill located on a portion of the property. HSG is contributing the property to the joint venture and Weingarten is providing the capital financing as well as construction, leasing and property management expertise. The venture has contracted with L.F. Jennings for the construction of the project. Other key members of the consulting team include KLNB Retail, Rounds Vanduzer Architects and Dewberry Engineers.
The center will open in 2014 and will benefit from extensive offsite improvements planned for Telegraph Road and Beulah Street as well as other regional traffic enhancements designed to accommodate the growth at Fort Belvoir including the recently completed extension of Fairfax County Parkway, the current development of the Mulligan Road connector, and future widening of the Route 1 corridor.
Jeff Harrison, regional vice president for WRI, stated, "While the opening is still over two years away we are already 65% pre-leased with another 20% of the space under negotiation. We believe the strong interest reflects the superb demographics of the location with a trade area of over 200,000 people, average household incomes above $100,000 and college education levels of 50%. The strength of Wegmans and the center's high profile location will insure the desirability of this location for retailers and customers for the long term."
Robert Smith, senior vice president of development and acquisitions, stated, "The dynamics of the northern Virginia and Maryland region are obviously compelling and we are extremely pleased to begin our expansion into the DC market through this venture to develop Hilltop Village Center. Not only are the attributes of the site extraordinary, the venture reflects the unique and flexible approach WRI can take to structure a deal and apply the capabilities from our national platform to bring a complex opportunity to fruition."
About Weingarten Realty
Weingarten Realty Investors (NYSE: WRI) is a commercial real estate owner, manager and developer. At September 30, 2011, the Company owned or operated under long-term leases, either directly or through its interest in real estate joint ventures or partnerships, a total of 386 developed income-producing properties and 10 properties under various stages of construction and development. The total number of properties includes 317 neighborhood and community shopping centers located in 22 states spanning the country from coast to coast. The Company also owns 76 industrial projects located in California, Florida, Georgia, Tennessee, Texas and Virginia and three other operating properties located in Arizona and Texas. At September 30, 2011, the Company operated a portfolio of properties representing approximately 74.7 million square feet. To learn more about the Company's operations and growth strategies, please visit www.weingarten.com.
Weingarten Realty Investors
Kristin Horn, (713) 866-6050
Director of Investor Relations