SUBSEQUENT EVENTS

3 Months Ended

Mar. 31, 2016

Subsequent Event [Line Items]

Subsequent Events [Text Block]

SUBSEQUENT EVENTS

On February 10, 2016, EastGroup executed a commitment letter for a $65 million senior unsecured term loan which closed on April 1, 2016. The loan has a seven-year term and interest only payments. It bears interest at the annual rate of LIBOR plus an applicable margin (currently 1.65%) based on the Company's senior unsecured long-term debt rating. The Company also entered into an interest rate swap agreement to convert the loan's LIBOR rate component to a fixed interest rate for the entire term of the loan providing a total effective fixed interest rate of 2.863%.

Subsequent to quarter-end, EastGroup sold the following operating properties: (i) North Stemmons II (26,000 square feet) in Dallas generated gross sales proceeds of $1.3 million; (ii) Lockwood Distribution Center (392,000 square feet) in Houston generated gross sales proceeds of $14.3 million; and (iii) West Loop Distribution Center 1 & 2 (161,000 square feet) in Houston generated gross sales proceeds of $13.5 million. The Company expects to record gains on the sales of these three properties in the second quarter of 2016.

Also subsequent to quarter-end, the Company sold 3.9 acres of land adjacent to its Valwood Distribution Center in Dallas for $644,000. The Company expects to record a gain on sale in the second quarter of 2016.