DENVER--(BUSINESS WIRE)--CoreSite Realty Corporation (NYSE:COR), a premier provider of secure, reliable, high-performance data center and interconnection solutions across the U.S., today announced that its Board of Directors declared a cash dividend of $0.80 per share on common stock and common stock equivalents for the fourth quarter of 2016. The $0.80 per share quarterly dividend represents a $0.27, or 50.9%, increase over the prior quarterly dividend of $0.53 per share.
The increased dividend reflects an annualized dividend rate of $3.20 per share, compared to the prior annualized dividend rate of $2.12 per share. The fourth-quarter common stock dividend will be paid on January 16, 2017, to shareholders of record on December 30, 2016.
“Our six years of growth as a public company, during which we have achieved effective scale in some of the country's largest and fastest growing multi-tenant data center markets, coupled with our strong balance sheet, enables us to adopt a distribution policy consistent with REITs that have historically provided strong, sustainable shareholder returns,” said Paul Szurek, President and Chief Executive Officer of CoreSite. “We are pleased that these conditions allow us to reward our shareholders with this dividend increase.”
“We have raised our dividend each year since our IPO in 2010, correlating to 35% compound annual growth, furthering our commitment to increasing our dividend in tandem with our growth in cash flow and to delivering superior returns on capital for our shareholders,” added Jeff Finnin, Chief Financial Officer of CoreSite.
CoreSite’s Board of Directors also declared a cash dividend of $0.4531 per share of Series A Cumulative Redeemable Preferred Stock. The preferred share dividend will be paid on January 16, 2017, to shareholders of record on December 30, 2016.
CoreSite Realty Corporation (NYSE:COR) delivers secure, reliable, high-performance data center and interconnection solutions to a growing customer ecosystem across eight key North American markets. More than 1,000 of the world’s leading enterprises, network operators, cloud providers, and supporting service providers choose CoreSite to connect, protect and optimize their performance-sensitive data, applications and computing workloads. Our scalable, flexible solutions and 400+ dedicated employees consistently deliver unmatched data center options — all of which leads to a best-in-class customer experience and lasting relationships. For more information, visit www.CoreSite.com.
Forward Looking Statements
This press release may contain forward-looking statements within the meaning of the federal securities laws. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. In some cases, you can identify forward-looking statements by the use of forward-looking terminology such as "believes," "expects," "may," "will," "should," "seeks," "approximately," "intends," "plans," "pro forma," "estimates" or "anticipates" or the negative of these words and phrases or similar words or phrases that are predictions of or indicate future events or trends and that do not relate solely to historical matters. Forward-looking statements involve known and unknown risks, uncertainties, assumptions and contingencies, many of which are beyond CoreSite's control that may cause actual results to differ significantly from those expressed in any forward-looking statement. These risks include, without limitation: any adverse developments in local economic conditions or the demand for data center space in these markets; operational difficulties, including difficulties relating to information systems, internal processes and information security; significant industry competition; financial market fluctuations; and other factors affecting the real estate industry generally. All forward-looking statements reflect CoreSite's good faith beliefs, assumptions and expectations, but they are not guarantees of future performance. Furthermore, CoreSite disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events or other changes. For a further discussion of these and other factors that could cause CoreSite's future results to differ materially from any forward-looking statements, see the section entitled "Risk Factors" in CoreSite's most recent annual report on Form 10-K, and other risks described in documents subsequently filed by CoreSite from time to time with the Securities and Exchange Commission.