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BIRMINGHAM, AL-In its continued move toward a multifamily focus, Colonial Properties Trust sold two retail properties totaling close to one million sf to an Australian joint venture. The GPT Group and Babcock & Brown Ltd. paid $90 million for the combined acquisitions of Colonial Promenade Tutwiler Farm and Colonial Pinnacle Tutwiler Farm.

Completed in 2000, the 514,120-sf Colonial Promenade Tutwiler Farm sits on 60 acres at 1600 Gadsden Highway, and is co-anchored by Super Target and Home Depot. Other tenants at the 100%-occupied center include Academy Sports, Old Navy, Books-A-Million, Michael’s, Bed, Bath & Beyond, and T.J. Maxx. Colonial Properties anticipates the sale gain will range between $.20 and $.25 of earnings per diluted share.

Meanwhile, Colonial Pinnacle Tutwiler Farm, on 72 acres, is anchored by JC Penney, Best Buy and Parisian. Other tenants include Ann Taylor Loft, Chico’s and Joseph A. Banks. The 447,000-sf lifestyle center is at Interstates 59 and 459. The center opened in October 2006 with a quicker lease-up than had originally been thought, according to a previous press release. Estimated gain from the sale ranges between $0.30 and $0.35 of EPS and funds from operations per share.

“The sale of these retail assets highlights our ability to create value through development,” says Reynolds Thompson, the company’s CEO in a prepared statement announcing the sales. “This transaction allows us to redeploy our capital into assets with higher growth potential and is consistent with our strategy to move towards a multifamily focus.”

A representative from Colonial Properties Trust declined specific comments on the transactions.

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