Crabtree Mall Acquisition as a Strategic Growth and Repositioning Opportunity
Macerich acquired Crabtree Mall in June 2025 for approximately $290 million, adding 1.3 million square feet in Raleigh-Durham, NC.
The acquisition is expected to be accretive to the 2028 FFO targets and enhances the company's presence in a high-growth, market-dominant region.
Management plans to reinvigorate leasing momentum, increase occupancy from 74% to near 90%, and unlock embedded NOI growth upside.
Crabtree's NOI is projected to increase from $32 million to over $40 million pro forma, driven by leasing and capital improvements.
The company sees significant potential in remerchandising and capitalizing on the mall's strategic location, with early leasing momentum already strong.
This move reflects a strategic shift towards active repositioning and value creation in core markets.
Strategic Portfolio Rebalancing and Capital Return Plan
Cannae has sold approximately $1.1 billion of public company stakes since February 2024, significantly reducing its public holdings from 63% to 22% of assets.
The company expects to receive around $630 million from the sale of Dun & Bradstreet, which will be used for share repurchases, debt repayment, and dividends.
Cannae has repurchased 7.6 million shares, or about 12% of outstanding shares, at an average price of $19.71, aiming to close the NAV discount.
The company increased its quarterly dividend by 25% to $0.15 per share, reflecting a commitment to returning capital to shareholders.
Since February 2024, Cannae has returned approximately $414 million through buybacks and dividends, demonstrating a strategic focus on capital deployment.
Dafinchi