SUBSEQUENT EVENTS

6 Months Ended

Jun. 30, 2013

Subsequent Events [Abstract]

Subsequent Events [Text Block]

SUBSEQUENT EVENTS

During the first quarter of 2013, the Company entered into an agreement in principle with an insurance company under which the Company plans to issue $100 million of senior unsecured notes at a fixed interest rate of 3.8%. The notes will require semi-annual interest payments with principal payments of: $30 million on August 30, 2020, $50 million on August 30, 2023, and $20 million on August 30, 2025. The transaction is expected to close on August 30, 2013, and the issuance of the notes in this private placement is subject to due diligence and completion of final documentation.

As of July 22, 2013, EastGroup issued and sold 138,208 shares of common stock under its continuous common equity program during the third quarter of 2013 at an average price of $57.07 per share with net proceeds to the Company of $7.8 million. The proceeds were used to reduce variable rate bank borrowings. As of July 22, 2013, the Company has 812,899 shares of common stock remaining to sell under the program.

Subsequent to June 30, 2013, EastGroup closed the acquisition of Interchange Park II, a 49,000 square foot business distribution building in Charlotte, for a purchase price of $2.4 million.

Also subsequent to June 30, the Company closed the sale of 2.2 acres of land in Orlando for $1.4 million. The sale generated a small gain.

In addition, subsequent to June 30, the Company began construction of Horizon I, a 109,000 square foot business distribution building in Orlando with a projected total cost of $7.7 million, and Ten West Crossing 4, a 68,000 square foot business distribution building in Houston with an estimated total cost of $4.8 million.