Federal Realty is a leading real estate investment trust (REIT) known for its expertise in developing mixed-use properties. When selecting properties for development, Federal Realty prioritizes several factors that align with its long-term growth strategy. The company's CEO, Don Wood, recently discussed these factors during an earnings call on August 3, 2021. Firstly, Federal Realty focuses on high-density, transit-oriented locations. These areas have a strong demand for housing and commercial space, making them attractive for development. The company's recent acquisition of the Pike & Rose community in North Bethesda, Maryland, is an example of this strategy. Located near the Metro Silver Line, the property offers easy access to transportation and amenities, which will enhance its value over time. Secondly, Federal Realty seeks out properties with a significant presence of national retailers. These tenants provide stability and predictability in cash flow, as they typically have long-term leases with fixed rents. This approach aligns with the company's goal of maximizing shareholder value through dividend growth and capital appreciation. Thirdly, Federal Realty prioritizes properties that offer opportunities for vertical development. By building taller buildings on existing sites, the company can increase density without requiring additional land. This strategy reduces the overall cost of development and enhances the property's long-term value. The company is currently pursuing this approach at its White Flint Station development in Maryland. Finally, Federal Realty considers properties that offer potential for redevelopment or repurposing. The company has a track record of successfully revitalizing aging properties by adding new uses and amenities. For example, the Shops at Dakota Crossing in Alexandria, Virginia, was transformed from an underperforming shopping center into a bustling mixed-use community with residential, retail, and office space. These factors are critical to Federal Realty's long-term growth strategy because they enable the company to generate consistent cash flow, minimize risk, and maximize value for shareholders. By focusing on high-density, transit-oriented locations, national retailers, vertical development, and redevelopment opportunities, Federal Realty is well-positioned to deliver sustainable growth over time.