Armada Hoffler Executes Two Major Retail Leases in Town Center of Virginia Beach District

Rhea-AI Summary

Armada Hoffler (NYSE: AHH) has secured two major retail leases at Columbus Village in the Town Center of Virginia Beach district. The company signed a 14,000-square-foot lease with a grocer and a 19,000-square-foot lease with a national sporting goods retailer, effectively backfilling the former Bed Bath & Beyond space.

The Town Center district, Armada Hoffler's flagship mixed-use asset, boasts 6.9 million annual visits and features 640,000 square feet of retail space (98% leased), 800,000 square feet of office space (98% occupied, up from 95% in Q3 2024), and 760 apartments. Columbus Village comprises 157,000 square feet of retail space across 12 acres, with tenants including Barnes & Noble, Cava, Five Below, Ulta Beauty, and Shake Shack.

Positive

• Successfully backfilled all former Bed Bath & Beyond spaces with credit tenants
• Retail space occupancy at 98%
• Office occupancy increased from 95% to 98% in Q4 2024
• Strong foot traffic with 6.9 million annual visits

Negative

• None.

New Columbus Village tenants to backfill former Bed Bath & Beyond space, serve as valuable amenity for area’s robust population

VIRGINIA BEACH, Va., Jan. 22, 2025 (GLOBE NEWSWIRE) -- Armada Hoffler (NYSE: AHH) completed two significant new retail leases at Columbus Village in the Town Center of Virginia Beach district. The Company executed a 14,000-square-foot lease with a prominent grocer and a 19,000-square-foot lease with a national sporting goods retailer.

These two credit tenants will backfill substantially all of the space previously occupied by Bed Bath & Beyond. In the 18 months since Bed Bath & Beyond closed, the Company has now backfilled both spaces previously occupied by the retailer, having also re-leased the space at Patterson Place to another national credit tenant.

With 6.9 million annual visits and consistent year-over-year increases in foot traffic, Town Center of Virgina Beach district remains the dominant real estate development in the market. These new additions to Columbus Village only expand the merchandising mix and further enhances the appeal of the Town Center of Virginia Beach district, which is Armada Hoffler’s flagship mixed-use asset. The Company’s Town Center of Virginia Beach district, including Columbus Village and Pembroke Square retail, includes 640,000 square feet of retail space, 800,000 square feet of office space, 760 apartments and additional opportunities to unlock further value through redevelopment within the district. The district’s retail space is 98% leased and office occupancy has increased from 95% at the end of the third quarter of 2024 to 98% at the end of the fourth quarter.

“These new retail leases highlight the successful reimagining of this former big-box space and our ability to attract desirable retail tenants due to the highly trafficked area and proximity to Town Center of Virginia Beach,” said Shawn Tibbetts, Chief Executive Officer and President of Armada Hoffler. “By quickly filling this vacant space with strong tenants, our team has succeeded in maximizing the property’s value.”

Columbus Village features 157,000 square feet of retail space on two sites totaling 12 acres. Notable existing tenants include Barnes & Noble, Cava, Five Below, Ulta Beauty and Shake Shack.

Gerald Divaris and Sezin Cortinas of Divaris Real Estate represented Armada Hoffler in the transactions.

About Armada Hoffler

Armada Hoffler (NYSE: AHH) is a vertically integrated, self-managed real estate investment trust (“REIT”) with over four decades of experience developing, building, acquiring, and managing high-quality office, retail, and multifamily properties located primarily in the Mid-Atlantic and Southeastern United States. We also provide general construction and development services to third-party clients, in addition to developing and building properties to be placed in our stabilized portfolio. Founded in 1979 by Daniel A. Hoffler, Armada Hoffler has elected to be taxed as a REIT for U.S. federal income tax purposes. For more information visit ArmadaHoffler.com.

Contact:

Chelsea Forrest

Armada Hoffler

Vice President of Corporate Communications and Investor Relations

Email: CForrest@ArmadaHoffler.com

Phone: (757) 612-4248

FAQ

What new tenants is AHH bringing to Columbus Village in Virginia Beach?

AHH has secured a 14,000-square-foot lease with a prominent grocer and a 19,000-square-foot lease with a national sporting goods retailer at Columbus Village.

What is the current retail occupancy rate at AHH's Town Center of Virginia Beach?

The retail space at Town Center of Virginia Beach is 98% leased as of Q4 2024.

How much did AHH's office occupancy improve in Q4 2024?

Office occupancy increased from 95% at the end of Q3 2024 to 98% at the end of Q4 2024.

How many annual visits does AHH's Town Center of Virginia Beach receive?

The Town Center of Virginia Beach receives 6.9 million annual visits with consistent year-over-year increases in foot traffic.

What is the total retail space at AHH's Columbus Village property?

Columbus Village features 157,000 square feet of retail space on two sites totaling 12 acres.