ATLANTA—Cousins Properties is reporting second quarter earnings. The company reported 18 cents earnings per share, beating the Street by a penny. Total revenue was $84.51 million on the quarter, compared to $78.24 analysts estimated. Year-over-year, the company’s revenue was up 98.8%.
Cash basis same property net operating income for the second quarter was up 15% over the prior year. Before the end of the quarter, Cousins entered into an agreement to acquire Fifth Third Center in Charlotte, NC for $215 million. The company expects Fifth Third Center to be 82% leased upon closing.
“We took advantage of our recovering Sunbelt office markets by signing a significant number of new leases during the second quarter at improving economics to us,” says Larry Gellerstedt, president and CEO of Cousins. “In addition, our pending purchase of Fifth Third Center is an exceptional strategic fit for us. We are purchasing this class A office tower below replacement cost and with a real value creation opportunity through the lease up of vacant space.”
Cousins leased or renewed 416,000 square feet of office and retail space during the second quarter and sold all remaining land at the Round Rock, TX site for $10 million for a $1.3 million gain. The six months ended June 30, 2013 included $56.8 million in gains recognized on the sale of 50% of the company’s interest in Terminus 100 and on the acquisition of Terminus 200, which was achieved in stages.