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As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowDuke Realty Corp. lost $32.1 million in the third quarter, but managed to meet analyst expectations in a key measurement for real estate investment trusts.
The Indianapolis–based REIT announced Thursday afternoon that it lost $32.1 million, or 13 cents per share, compared with earnings of $34.1 million, or 13 cents per share, in the same quarter a year earlier.
Last year's third-quarter earnings were boosted significantly by a $57.5 million gain attributed to the company’s acquisition of its partner’s share of a joint venture that owns 106 industrial buildings in the Midwest and Southeast. Duke paid $298.2 million for the 50-percent stake in Dugan Realty LLC. Duke Realty Limited Partnership already owned the other half of the venture.
Revenue rose slightly in the third quarter, to $361.26 million from $360.65 million a year ago.
The company reported second quarter core funds from operations of $76.1 million, or 29 cents per share, down from $77.9 million, or 30 cents per share, a year ago. The core FFO met predictions of 14 analysts polled by Thomson Reuters. FFO is a common performance measure used by REITS
Duke narrowed its 2011 FFO predictions of between $1.06 and $1.18 per share to between $1.13 to $1.15 per share.
The occupancy rate for Duke’s portfolio of properties, including those under development, rose 1.4 percentage points, to 90.7 percent from June 30 to Sept. 30.
The occupancy rate is at its highest level since 2005.
Duke acquired $103.5 million of mainly industrial buildings in the third period and made $6.2 million in dispositions.
Company shares closed trading Wednesday at $11.75 each, down from a 52–week high of $15.63 in May.
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