SITE Spin-off Notes

November 23, 2023 Update

Early this week, SITE Centers Corp (SITC), an owner of open-air shopping centers, announced its plan to spin-off its Convenience assets into a separate publicly-traded REIT named Curbline Properties Corp (CURB) by Q4 2024.

The spin-off will looks to create one of the first and only public REITs exclusively focused on Convenience asset. CURB’s portfolio will primarily consist of shop units catering to daily convenience trips and will include national and local service and restaurant tenants. These tenants include companies like Starbucks, JPMorgan Chase, Verizon, and Chipotle. CURB seeks to buy wholly-owned properties concentrated in high-growth Metropolitan Statistical Areas and submarkets with strong long-term population and employment growth and above-average household incomes. As of September 30, 2023, the CURB portfolio was 96.2% leased.

SITE Centers initiated the separation of specific convenience properties in 2022 that were adjacent to existing assets, with the separation work expected to be completed prior to the planned spin-off of CURB. The spin-off is expected to position CURB as a net cash entity upon separation, with the capability to acquire additional convenience properties.