CTO Realty Growth Announces Sale Of Single Tenant Office Property In Tampa, FL For $22M
Portfolio Pulse from Benzinga Newsdesk
CTO Realty Growth, Inc. (NYSE:CTO) sold Sabal Pavilion, a single tenant office property in Tampa, FL, for $22M, incurring a $0.7M loss. CTO provided a $15.4M mortgage to the buyer at 7.5% interest. The sale is part of CTO's asset disposition strategy, with proceeds intended for a 1031 Exchange and to repay part of their credit facility debt. The company has sold nine properties year-to-date, with total gains of $6.3M.

December 20, 2023 | 9:19 pm
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CTO Realty Growth sold a property at a loss but provided a mortgage to the buyer, indicating an ongoing strategy to divest non-core assets and reinvest in higher growth opportunities.
The sale of the property at a loss may be viewed negatively by investors, but the overall strategy to reinvest in higher growth assets and the use of proceeds to improve financial flexibility could be seen as positive. The short-term impact is likely neutral as the market digests both the loss from the sale and the strategic implications.
CONFIDENCE 80
IMPORTANCE 60
RELEVANCE 100