Armada Hoffler Properties, Inc. Announces Pricing of Initial Public Offering of Common Stock

Armada Hoffler Properties, Inc. Announces Pricing of Initial Public Offering of Common Stock

VIRGINIA BEACH, Va.--(BUSINESS WIRE)-- Armada Hoffler Properties, Inc. (NYS: AHH) (the "Company") today announced the pricing of its initial public offering of 16,525,000 shares of common stock, an increase of 1,941,667 shares over the previously announced offering size of 14,583,333 shares, at a price to the public of $11.50 per share, for a total of $173.7 million of net proceeds after deducting underwriter discounts and commissions and estimated offering expenses payable by the Company, assuming no exercise of the underwriters' overallotment option. All of the shares are being offered by the Company. The shares will be listed on the New York Stock Exchange under the symbol "AHH."

The offering is expected to close on May 13, 2013. The Company has granted the underwriters a 30-day option to purchase up to an additional 2,478,750 shares to cover overallotments, if any.

The Company will contribute the net proceeds of the offering to its operating partnership in exchange for common units in its operating partnership. The operating partnership intends to use the net proceeds received from the Company to repay certain indebtedness, as partial consideration for the equity interests in the entities that own the properties in the Company's initial portfolio and the construction, development and asset management business that it will acquire from prior investors and for general business purposes.

A registration statement relating to the offering of shares of the Company's common stock discussed above was declared effective by the Securities and Exchange Commission on May 7, 2013. This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of, or any solicitation of an offer to buy, these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

Robert W. Baird & Co. Incorporated, Raymond James & Associates, Inc. and Stifel, Nicolaus & Company, Incorporated are serving as joint book-running managers for the offering. Oppenheimer & Co. is serving as lead manager. BB&T Capital Markets, a division of BB&T Securities, LLC, Janney Montgomery Scott LLC and Wunderlich Securities, Inc., are serving as co-managers for the offering.

A copy of the prospectus relating to the offering may be obtained by contacting: Robert W. Baird & Co. Incorporated, Attention: Syndicate Department, 777 E. Wisconsin Avenue, Milwaukee, WI 53202, or by calling (800) 792-2473, or by email at syndicate@rwbaird.com; Raymond James & Associates, Inc., 880 Carillon Parkway, St. Petersburg, FL 33716, or by calling (800) 248-8863, or by email at prospectus@raymondjames.com; or Stifel, Nicolaus & Company, Incorporated, Attn: Syndicate Department, One South Street, 15th Floor, Baltimore, MD 21202, or by calling (443) 224-1988.

About Armada Hoffler Properties

Armada Hoffler Properties, Inc. is a full service real estate company with extensive experience developing, building, owning and managing high-quality, institutional-grade office, retail and multifamily properties in attractive markets throughout the Mid-Atlantic United States. Upon completion of this offering, the Company intends to elect to be taxed as a real estate investment trust (REIT) for U.S. federal income tax purposes.

Forward Looking Statements

This press release contains forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. These forward looking statements are based upon the Company's present expectations, but these statements are not guaranteed to occur. For example, because this offering has priced may imply that the offering will close, but the closing is subject to certain conditions customary in transactions of this type and may be delayed or may not occur at all. In addition, the underwriters' option to purchase additional shares may imply that this option will be exercised; however, the underwriters are not under any obligation to exercise this option, or any portion of it, and may not do so. Investors should not place undue reliance upon forward looking statements. For further discussion of the factors that could affect outcomes, please refer to the "Risk Factors" section of the prospectus.

For Armada Hoffler Properties, Inc.
Investor Relations
757-366-6620
InvestorRelations@ArmadaHoffler.com

KEYWORDS: United States North America Virginia

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