Federal Realty Investment Trust / FRT

About Federal Realty Investment Trust

1626 E. Jefferson St., Rockville, Md. 20852
www.federalrealty.com | 301-998-8100 | Founded: 1962

Industry: Real Estate | Category: Top 100 Companies

Federal Realty is sprucing up many of its aging shopping centers, including those locally in Shirlington, Leesburg and Rockville's Town Center, where it is spending about $40 million and hopes to bring in a Harris Teeter supermarket.
Over the next three years, the company plans to spend about $300 million to renovate properties across the country, said Donald C. Wood, Federal Realty's chief executive. When companies such as K-Mart and Ames went into bankruptcy, Federal Realty used space those companies had vacated in some of its shopping centers to attract new tenants at higher rents.
The retail developer, like others in the industry, is faced with the rising cost of construction materials.
Construction costs "are squeezing returns to some extent, and with costs going up the only way the returns make sense is if rents rise as much as the construction costs," Wood said.
Federal Realty said it plans to acquire about $100 million worth of property this year, about the same as in the past few years. Its plan, executives said, is to target new projects in close-in suburbs, like the 50-acre site it recently bought just outside Boston. It plans to turn the site, which includes a shopping mall where an old car-assembly plant once stood, into a major, mixed-use project over the next decade.
The company's huge retail development project, Santana Row, in San Jose is 94 percent leased, executives said, and 250 apartments are being added to the complex this year.

President and CEO: Donald C. Wood

President and CEO: Donald C. Wood

2007 Financial Data

Total employees: 393 | Local employees: 279