One of the region's largest REITs is restructuring to accelerate investments through tax deferment structures.

Federal Realty Investment Trust will create a publicly traded umbrella partnership REIT, known as an UPREIT, and transfer its trust into a limited partnership controlled by the holding company. The change to an UPREIT structure won't impact investors, the REIT said in a press release, and under Maryland law doesn't require a shareholder vote.

"This reorganization will align our corporate structure with the majority of other REITS and improve our ability to acquire properties in tax deferred structures, all without any impact to our existing shareholders, lenders and other constituencies," Federal Realty CEO Don Wood said in a statement.

The reorganization is expected to take effect in 2022. The UPREIT structure means Federal Realty can sidestep capital gains taxes when swapping or selling a property that has gained value, the Washington Business Journal reported.

The North Bethesda-based firm isn't just changing its corporate structure — it is starting to develop new types of commercial real estate.

Last week, Federal Realty announced it would be developing the 935 Prose St. building at its Pike & Rose project into a 260K SF life sciences building, which would offer floor plates for lab use as well as biomanufacturing. The building, which is being designed by Gensler and marketed by Scheer Partners, is planned to include ground-floor space for chemical storage and lab waste handling, as well as street retail.

Besides the new life sciences building, Federal is also moving forward with a proposed redevelopment of Friendship Center at 5333 Wisconsin Ave. NW and its second office building at the Pike & Rose development, which just landed a 105K SF office lease from Choice Hotels.