06/22/2021 | by
Article Author(s)
COPT CEO Says Strong Uptake of Bond Offerings Reflects REIT’s Strengthened Portfolio

Stephen Budorick, president and CEO of Corporate Office Properties Trust (NYSE: OFC), participated in a video interview in conjunction with Nareit’s REITweek: 2021 Investor Conference.

Budorick said that after an “outstanding year” in 2020, COPT is “off to a great start” and on track to meet its development goals again in 2021.

Budorick also commented on the fact that COPT has seen a strong uptake of its bond offerings in 2020 and 2021. He noted that when COPT issued bonds in 2020, it was the first time it had been to the bond market in five years.

COPT had significantly strengthened its portfolio over those intervening five years, Budorick explained, and was “rewarded for that strength” with record low interest rates. The REIT’s next bond maturity is in 2025 and “we’re laser focused on optimizing the timing and cost implications,” he said. “We’re excited to come back to the market when the time is right,” he added.

Looking at development commitments for the rest of 2021, Budorick said the REIT has 1.7 million square feet of development that is 87 % pre-leased and under construction. By the end of the year, COPT expects to commence 600,000-800,000 square feet of additional projects that are expected to be 95% pre-leased or higher.