6/29/2015 | By Sarah Borchersen-Keto
Stuart Tanz, president and CEO of Retail Opportunity Investment Corp. (NASDAQ: ROIC), joined REIT.com for a CEO Spotlight video interview during REITWeek 2015: NAREIT’s Investor Forum, held in New York.
ROIC focuses on the ownership and management of grocery-anchored shopping centers located in densely populated, metropolitan markets across the West Coast.
Net income in the first quarter of 2015 rose to $4.4 million from $3.3 million in the same period a year before. Tanz said the results reflect the strength of fundamentals in core markets that it knows well and continued demand for necessity-based retail.
“We understand the markets, the tenant base and the moving pieces as it relates to creating value for shareholders, so that has also contributed in a big way,” he said.
Tanz noted that during the last 18 months, ROIC has acquired close to $1 billion of shopping center assets. “The pipeline looks very strong in terms of what we’re seeing out there, and there’s been no supply in the market,” he said.
Tanz underlined the importance of the relationships ROIC has developed and the focus on “growing the company smartly.” He also stressed the benefits of operating in necessity-based retail, noting that sales tend to hold steady during economic downturns and trend higher in economic upturns.
“It’s the most defensive part of the industry, given the long-term nature of the grocery stores and the drug stores,” he said.