CTO Realty Growth acquires Texas retail center for $81.6 million

CTO Realty Growth Inc. (NYSE: CTO) purchased Palms Crossing, an open-air retail center in McAllen, Texas, for $81.6 million, according to a company statement.

The property spans 399,000 square feet and is currently 98% leased. Major tenants include Best Buy, Hobby Lobby, Burlington Coat Factory, Barnes & Noble and Nike. The retail center sits on 47 acres and serves a population of approximately 200,000 within a five-mile radius.

The acquisition includes two pad sites on approximately six acres that represent future development opportunities. With this purchase, Texas becomes CTO's third largest state by annualized cash base rent.

Following the acquisition, 85% of the company's cash base rent will come from Georgia, Florida, Texas and North Carolina combined.

CTO plans to fund the acquisition initially with available cash and its revolving credit facility. The company expects to sell a property in mid-2026, using those proceeds to retroactively fund the Palms Crossing purchase.

CTO Realty Growth owns and operates open-air shopping centers in Southeast and Southwest markets. The company also manages Alpine Income Property Trust Inc. (NYSE: PINE), a publicly traded net lease REIT.

You May Also Be Interested In

• Ethan Allen declares $3-per-share special cash dividend
• IsoEnergy and Disa Technologies close deal to form Disa Uranium Corp
• Polar Power targets military drone and robotics power market