Revenue during the quarter surged 51.04 percent to $90.75 million from $60.09 million in the previous year period.

Cost of revenue surged 70.40 percent or $26.32 million during the quarter to $63.70 million. Gross margin for the quarter contracted 798 basis points over the previous year period to 29.80 percent.

Total expenses were $82.29 million for the quarter, up 52.13 percent or $28.20 million from year-ago period. Operating margin for the quarter contracted 66 basis points over the previous year period to 9.33 percent.

Operating income for the quarter was $8.47 million, compared with $6 million in the previous year period.

For fiscal year 2017, Armada Hoffler Properties, Inc. projects operating income to be in the range of $73.70 million to $74.20 million.

Revenue from real estate activities during the quarter surged 72.59 percent or $26.72 million to $63.52 million.

Income from operating leases during the quarter rose 16.96 percent or $3.95 million to $27.23 million.

Commenting on the Company's results, Louis Haddad, president and chief executive officer, said, "Our first quarter results are in line with our expectations and our Normalized FFO guidance for 2017 is unchanged. As we said at the beginning of the year, we remain very focused on delivering the tremendous growth expected from our development pipeline. With delivery commencing later this year and meaningful earnings growth thereafter, we believe these top-quality assets constitute significant value creation for our Company."

Total assets grew 22.58 percent or $182.92 million to $992.90 million on Mar. 31, 2017. On the other hand, total liabilities were at $639.79 million as on Mar. 31, 2017, up 15.33 percent or $85.06 million from year-ago.

Return on assets moved down 241 basis points to 1.34 percent in the quarter. At the same time, return on equity moved down 511 basis points to 1.69 percent in the quarter.