Chris Mooney's questions to STRATUS PROPERTIES (STRS) leadership • Q2 2022
Question
Chris Mooney of Wedbush Securities inquired about the timing of the $50 million capital return, the company's remaining cash position, details on project-level debt, the status of HEB retail center sales, and operational updates for projects including The Saint June, Lantana Place, Circle C, Lakeway, and the large-scale Section N development.
Answer
Chairman, President and CEO Beau Armstrong stated the capital return plan would be finalized in weeks, pending bank consent and shareholder discussions. He noted that after the return and a ~$20 million tax liability, the company would have sufficient cash. Armstrong detailed that most debt is project-level, with three HEB centers being marketed for sale, with an update expected after Labor Day. He provided project updates: The Saint June's first units are due by year-end, and Lantana Place is approximately 90% leased. CFO Erin Pickens confirmed Lantana Place is just under 100,000 square feet.