NorthStar prices; Digital Realty preferreds free to trade; Glimcher paper admitted to NYSE

By Stephanie N. Rotondo

Phoenix, April 3 - A preferred stock market source said the space was "pretty flat" on Wednesday.

"There was less than a penny difference," he said.

He noted that trading in the secondary arena was "reasonably active," adding that Fannie Mae and Freddie Mac issues remained all the rage.

Those issues continued to climb higher on the back of record earnings from Fannie Mae on Tuesday. However, the price gains were not nearly as much as those seen in the previous couple of sessions and overall trading volumes were dying down, comparatively speaking.

Back in the primary, yet another real estate investment trust was tapping the market on Wednesday.

NorthStar Realty Finance Corp. said it was planning a sale of series D cumulative redeemable preferreds. The new issue came late in the day.

Meanwhile, Digital Realty Trust Inc.'s newly priced $225 million issue of 5.875% series G cumulative redeemable preferreds had yet to free up as of midday but did in fact free by the end of business.

NorthStar brings new issue

NorthStar Realty Finance announced plans to sell series D cumulative redeemable preferreds early in Wednesday trading.

A trader said price talk on the issue was 8.5% to 8.625%.

"I'm sure it will be relatively small like their other deals," he said.

The trader saw the issue offered at less 20 cents in the midday gray market.

"Nobody is really trading that in the gray right now," he remarked.

Late in the day, the company priced $175 million of the preferreds at the tight end of talk.

NorthStar is a New York-based REIT.

Digital Realty frees

Digital Realty Trust's new 5.875% series G cumulative redeemable preferreds - a deal that priced late Monday - freed from the syndicate by the end of Wednesday business.

At midday, a trader pegged the securities at $24.75.

At the close, a source quoted the issue at $24.72 bid, $24.78 offered.

Digital Realty is a San Francisco-based REIT.

Glimcher lists on NYSE

In new listings, Glimcher Realty Trust's $90 million of 6.875% series I cumulative redeemable preferreds were admitted to the New York Stock Exchange on Wednesday.

The ticker symbol is "GRTPI." The preferreds priced March 21.

As of midday, the issue was trading at $25.18, which compared to opening levels of $25.10.

The preferreds ended the day at $25.19.

Glimcher is based in Columbus, Ohio.

DDR calls class H preferreds

A trader said DDR Corp.'s $150 million of 6.25% class K cumulative redeemable preferred stock - a deal that priced March 25 - was trading around $24.85.

The Beachwood, Ohio-based REIT will use proceeds from the new issue to call $150 million of 7.375% class H cumulative redeemable preferreds. The redemption was officially announced on Tuesday.

That issue (NYSE: DDRPH) ended Wednesday's session at $25.13, down 6 cents.

The securities will be redeemed on May 6.

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