Dan Guglielmone
Executive Vice President, Chief Financial Officer and Treasurer at Federal Realty Investment Trust
Thank you, Don. Good afternoon, everyone. Feels really good to be here discussing another quarter, where we blew away expectations. $1.51 per share of FFO represented a 7% sequential gain over a strong second quarter, 35% above 3Q last year, and with $0.23 above our expectations, which represents an 18% beat. As Don highlighted, the outperformance was broad-based, with upside coming from continued progress on collections, occupancy at leasing gains, better - than - forecasted contributions from hotel, parking, and percentage rent, faster lease -up at our developments, and another accretive off-market transaction.
While collections climbed higher to 96% in the current period, up from 94% last quarter, plus another 8 million of prior-period collection, leasing is what continues to command center stage for yet another quarter at Federal. Momentum that started during the second half of 2020 continues with a fifth consecutive quarter of well-above-average leasing volumes across the portfolio. We saw our occupied percentage surge 60 basis points in the quarter, 89.6% to 90.2%.
Other strong leasing metrics to note, our small shop lease occupancy metric continued its climb upward, as it grew another 40 basis points to 86.1%, coming on top of the nearly 200 basis point gain in the second quarter. Overall, small shop is up 260 basis points year-over-year. Leasing momentum continues to be driven by strengthen our lifestyle portfolio, as we signed leases with such relevant tenants of tomorrow, names such as Jenni Kayne, American Giant, Herman Miller, Peloton, Las lab, purple, another parity location, another Nike location, our fourth this year.
And restaurants such as Slot line, Moto Astro beer hall, Gregory's coffee, and van Loon, just to name a few. Some of these names, you may not be familiar with, but trust me, you will. Office leasing continues to be a bright spot, with 224 thousand square feet of leases signed during the quarter, and subsequent to quarter-end, including the investment grade rated Choice Hotels deals by Don Highland. Comparable property growth, again, while not particularly relevant this year, continued its resurgence up 16%. Please note for those that keep track, as we expected, term fees in the quarter were down significantly to $500,000 versus $6.1 million in the third quarter of last year.
A headwind of a minus 4.2%, without it our comparable metric would have been 20%. Our remaining spend on our $1.2 billion in-process development pipeline stands at $215 million with another $50 million remaining on our property improvement initiatives across the portfolio. You may have noticed that we added a new project to our redevelopment schedule in our 8-K, a complete repositioning of Huntington shopping center, on the latter. An $80 million project which will transform a physically obsolete power center on a great piece of land, into a re-merchandised whole food anchored center.
The project is expected to achieve an incremental yield of 7%. Now, onto the balance sheet, and an update on liquidity, and leverage. For the $125 million of mortgage debt having been repaid over the last 60 days, we have no debt maturing until mid-2023. We continue to be opportunistic selling tactical amounts of common equity for ATM program on our forward sales agreements. And as a result, we maintained ample available liquidity of $1.45 billion as of quarter-end, comprised of our undrawn $1 billion revolver, roughly a $180 million of cash and $270 million of equity to be issued on our forward agreements.
Additionally, our leverage metrics continue to show marked improvement. Pro forma for our 2021 acquisitions over equity, under contract, our run-rate for net debt to EBITDA is down to 6.0 times. Pro forma for leases signed, yet not open, the figure is 5.8 times. Fixed charge coverage is backed up to 3.9 times. Our targeted leverage ratios remain in the low-to-mid 5 times for net debt EBITDA and above 4x for fixed charge coverage. We are almost there. Finally, let's turn to guidance.
Given the strong recovery we are experiencing in 2021, we will be meaningfully increasing guidance again for both this year and 2022. Taking 2021 up 7.4% from a prior range of $5.05 to $5.15 to $5.45 to $5.50 per share. This implies 21% year-over-year growth versus 2020 at the midpoint. And are taking 2022 up 6.5% from a prior range of $5.30 to $5.50 for a revised range of $5.65 to $5.85 per share. And while maybe premature, preliminary targets from our model show FFO growth in 2023, and 2024 in the 5% to 10% range. The drivers behind the improved outlook for 2021, first, a significantly stronger third quarter than previously expected.
And this should continue in the fourth quarter as we increase our fourth quarter estimate to $1.36 to $1.41 per share, a 10% improvement versus previous guidance, but down from this quarter. While we again collected more rent than expected from prior periods in the third quarter, we don't expect that to repeat. Repairs and maintenance demo and other expenses are all expected at elevated levels as we continue to drive the quality of our existing portfolio, and G&A will be higher in the fourth quarter as well, given higher compensation expense. In addition, we forecast issuing a $150 million to $200 million of common equity under our forward agreements before year-end.
For 2022, the improvement in outlook is driven by strength across all facets of our business from our occupancy growth driven by the continued momentum of leasing activity, contributions from our in-process $1.2 billion development pipeline, a full-year contribution for all of our 2021 acquisitions and higher collections as we returned to pre - COVID levels. Let me try to add some color to each of these areas to provide greater transparency to a multi-year path of out-sized growth. The first driver of growth, occupancy, and leasing, which I would like to break into two components.
First, what deals are already executed. With physical occupancy at 90.2% and our lease rate at 92.8% are signed not open spread to 260 basis points for our in-place portfolio. This represents roughly $25 million of incremental total rent. The second component. What leasing demand will drive going forward? Given the strength of our leasing pipeline, getting back to 95% lease, a level we were at just 3 years ago, is certainly achievable. If you look at our current pipeline of new leasing activity for currently unoccupied space, this could add another approximately a 115 basis points the current lease percentage or $12 million of total rent upside when executed.
Please note, for every 100 basis points of occupancy gain, we see roughly $10 million in additional total rent on average. The third driver of growth, our development pipeline. At $1.2 billion of spend, we'll throw off just over $10 million of POI in 2021 for about 1%. So, the stabilized projected yield in the mid to low 6% range, it should produce $70 million to $75 million of POI when stabilized. The $60 million to $65 million of incremental POI should begin to deliver more fully in 2022, but will also be a meaningful driver of POI growth in 2023 and 2024.
Please note, as we did before COVID, next quarter, we plan to reinclude in our 8-K supplement, the disclosure detailing the ramp up of POI for each of the projects in our pipeline. The fourth driver of growth in 2022, acquisitions. as they -- as Don mentioned, the closing of Twinbrooke Shopping Centre, our fifth off-market deal of the year brings our consolidated investment to $440 million, plus $360 million on a pro rata basis with a blended going in yield of 5.5% plus a full-year of contribution, these purchases are very accretive.
Lastly, collections. Current period collections for 2021 are forecasted to finish at 95% on average, for the entire year. We are expecting that to be higher in 2022 with pre-COVID levels returning in 2023. This is expected to more than offset any falloff in prior rent collection next year. Keep in mind for every 100 basis points, a collection percentage improvement that represents almost $9 million annually.
Please note that similar to last quarter, there is no benefits assumed to our guidance in either 2021 or 2022, from switching tenants from cash back to accrual basis accounting. The combination of these primary drivers of growth supplemented by forecasted upside in other parts of our business such as parking, tell investments, percentage rent, gives us a clear and transparent path of growth, not only in 2022 but beyond into 2023 and 2024. We couldn't be happier with our market position and expect to have sector-leading FFO growth over the next few years. And with that, Operator, please open the line for questions.
