Seritage Growth Properties (SRG) saw its loss widen to $21.10 million, or $0.67 a share for the quarter ended Sep. 30, 2016. In the previous year period, the company reported a loss of $18.30 million, or $0.58 a share.     

Revenue from real estate activities during the quarter increased 6.56 percent or $3.54 million to $57.61 million.

Cost of revenue dropped 8.01 percent or $1.09 million during the quarter to $12.47 million. Gross margin for the quarter expanded 343 basis points over the previous year period to 78.35 percent.

Operating loss for the quarter was $22.77 million, compared with an operating loss of $16.55 million in the previous year period. However, the adjusted EBITDA for the quarter stood at $47.53 million compared with $42.97 million in the prior year period. At the same time, adjusted EBITDA margin improved 303 basis points in the quarter to 82.50 percent from 79.47 percent in the last year period.

Income from operating leases during the quarter rose 10.14 percent or $4.20 million to $45.58 million. Revenue from tenant reimbursements was $12.02 million for the quarter, down 5.14 percent or $0.65 million from year-ago period.

"Our third quarter results demonstrate our ability to create substantial value as we continue to convert single-tenant buildings into first-class multi-tenant shopping centers. For the quarter, we displayed a strong ramp-up of leasing activity with 540,000 square feet of new leases signed across a diverse set of growing retailers at significantly higher rents and now have a total of 1.5 million square feet of SNO leases at an average rent of $19.25 PSF. We also announced an additional 10 redevelopment projects for a total of 40 completed or commenced projects since our formation. For the 25 new projects we have commenced year to date, we are projecting 11-12% unlevered returns on $285 million of investment capital, or incremental income of approximately $33 million once stabilized. As we look ahead to the end of 2016, we are focused on executing on our pipeline of opportunities and creating meaningful long-term value for our shareholders," said Benjamin Schall, president and chief executive officer.

Real estate investments stood at $419.68 million as on Sep. 30, 2016.

Total assets stood at $2,760.44million as on Sep. 30, 2016. On the other hand, total liabilities were at $1,295.96 million as on Sep. 30, 2016.

Return on assets was at 0.77 percent in the quarter. Return on equity was negative at 1.44 percent in the quarter.

Total debt was at $1,165.68 million as on Sep. 30, 2016. Shareholders equity was at $1,464.48 million as on Sep. 30, 2016. Meanwhile, debt to equity ratio was at 0.80 percent in the quarter.