Agree Realty's Momentum Continues 25 Years After IPO

It’s been a strong year for real estate investment trust Agree Realty Corporation ADC, which marked 25 years since its 1994 IPO on Monday.

Trading of Agree shares opened Monday at $68.67, up more than 45 percent over the past year.

What To Know

The company did about 150 transactions last year focused on recognizable chain outlets in the retail space, CEO Joey Agree said in an appearance on CNBC’s Fast Money Halftime Report.

The company’s focus is on working with a “sandbox of 30-35 retail industry leaders,” rather than local small businesses, he said.

Among the companies Agree said the firm tries to work with are well-known, high-traffic chains like Walmart Inc. WMT, home retailer TJX Companies Inc. TJX, Tractor Supply Company TSCO, Walgreens Boots Alliance Inc. WBA and privately held WaWa stores.

Why It's Important

“In retail today, I encourage all investors not to look at it in a binary framework — so there’s a lot of cap-ex, there’s a lot of investment required in multi-tenant assets today. There’s too much square footage in this country,” Agree said.

“Single tenant net lease retail specifically allows for safety and stability, and our mission is to provide our shareholders with stable returns with the best retailers in the business.”

Agree Realty owns and operates just under 700 properties in 46 states, with about 11.9 million square feet of gross leasable space.

Agree and other company leaders were scheduled to ring the closing bell at the New York Stock Exchange on Monday.

Price Action

Agree Realty shares traded at $68.31 Monday afternoon.

Related Links:

Jefferies Upgrades Agree Realty On Favorable Fed Environment, Acquisition Strategy

How Agree Realty Went From A $300 Million Microcap To $1.5 Billion Business