NEW HYDE PARK, N.Y.--(BUSINESS WIRE)--Kimco Realty Corporation (NYSE: KIM) announced the following transaction activity for the fourth quarter 2011.
SHOPPING CENTER ACQUISITIONS
U.S. Shopping Center Portfolio:
Kimco acquired 10 wholly-owned shopping centers located primarily in targeted major metropolitan statistical areas (MSA) for an aggregate purchase price of approximately $204.3 million, including $66.2 million of mortgage debt. These 10 acquisitions, including two previously announced purchases, total 1.1 million square feet and are approximately 97 percent occupied. Additional details about the centers are as follows:
- Market at Southpark, a 190,000-square-foot unencumbered grocery-anchored shopping center located in Littleton, Colo., (Denver-Aurora-Broomfield MSA), was purchased for $30 million. This center is 95 percent occupied and is anchored by King Soopers (a subsidiary of Kroger), Office Depot and Big Lots.
- Brennan Station, a 136,000-square-foot shopping center located in Raleigh, N.C., (Raleigh-Cary MSA), was purchased for approximately $29.4 million, including $9.1 million of mortgage debt. This center is 96 percent occupied and is anchored by Office Depot, Ace Hardware and Dollar Tree.
- Highlands Ranch S.C., a 123,000-square-foot grocery-anchored shopping center located in Highlands Ranch, Colo., (Denver-Aurora-Broomfield MSA), was purchased for approximately $27.6 million, including $20.6 million of mortgage debt. This fully occupied center is anchored by TJ Maxx, OfficeMax, Ace Hardware, and shadow-anchored by Kroger.
- Westridge Square S.C., a 215,000-square-foot unencumbered grocery-anchored shopping center located in Greensboro, N.C., (Greensboro-Highpoint MSA), was purchased for approximately $26.1 million. This center is 98 percent occupied and is anchored by Kohl’s and Harris Teeter.
- Grand Oaks Village, an 86,000-square-foot grocery-anchored shopping center located in Orlando, Fla., (Orlando-Kissimmee-Sanford MSA), was purchased for $25 million, including $6 million of mortgage debt. This center is fully occupied and is anchored by The Fresh Market.
- North Valley S.C., a 168,000-square-foot shopping center located in Peoria, Ariz., (Phoenix-Mesa-Scottsdale MSA), was purchased for approximately $23.4 million, including $16.1 million of mortgage debt. This center is 97 percent occupied and is anchored by J.C. Penney, Ross Stores and Jo-Ann Fabrics.
- Jetton Village Shoppes, a 67,000-square-foot grocery-anchored shopping center located in Cornelius, N.C., (Charlotte-Gastonia-Rock Hill MSA), was purchased for approximately $13.4 million, including $8.3 million of mortgage debt. This center is 99 percent occupied and anchored by Harris Teeter.
- College Park S.C., a 62,000-square-foot unencumbered grocery-anchored shopping center located in Tempe, Ariz., (Phoenix-Mesa-Scottsdale MSA), was purchased for approximately $10.5 million. This center is fully occupied and is anchored by Whole Foods.
Additional acquisitions previously announced:
- Island Gate Plaza – Acquired the fee position and an additional 43,000 square feet of retail space in an existing ground-leased site in Corpus Christi, Texas, (Corpus Christi MSA), for $8.8 million. Kimco now holds the full ownership interest in this 168,000-square-foot unencumbered shopping center that is 97 percent occupied and is anchored by Ross Dress for Less, Bed Bath & Beyond, Best Buy, Shoe Carnival and Michaels.
- Village Center West, a 30,000-square-foot grocery-anchored shopping center located in Highlands Ranch, Colo., (Denver-Aurora MSA), was purchased for $10.1 million, including $6.1 million of mortgage debt. This center is 94 percent leased and is shadow-anchored by Kroger.
In addition, Kimco acquired a 50 percent interest in the 1.1 million square foot Owings Mills Mall located in Owings Mills, Md., as part of a new joint venture with General Growth Properties, Inc. (GGP) to redevelop this property.
Canadian Shopping Center Portfolio:
The joint venture between Kimco and Anthem Properties acquired Salish Plaza, an 88,000-square-foot grocery-anchored shopping center located in Chilliwack, BC, for CAD $20.6 million. Also during the quarter, the company converted its preferred equity interest in the North Town shopping center with Anthem Properties into a pari-passu joint venture in which Kimco holds a 90 percent interest.
Latin America Portfolio:
The company acquired a land parcel in Lima, Peru, for $2.7 million that it will develop into a new 37,000-square-foot grocery-anchored center.
NON-STRATEGIC SHOPPING CENTER DISPOSITIONS
During the quarter, Kimco completed the sales of seven non-strategic shopping centers for approximately $59.4 million, including the repayment of $18 million of mortgage debt. Kimco’s share of the proceeds from these sales was $39.1 million. These properties, which totaled approximately 1 million square feet, had a combined gross occupancy of 71 percent. Proceeds from the sales of these properties were recycled toward the properties acquired during the quarter.
NON-RETAIL ASSETS
Fourth quarter activity includes the disposition of five urban properties (two each in Boston and Philadelphia with another located in New York) for $15.1 million, as well as the sale of $7.1 million of marketable securities. Also during the quarter, Kimco received a distribution of $27.7 million on a non-retail preferred equity investment from a mortgage refinancing, in addition to selling its interest in a Canadian hotel venture to its joint venture partner for approximately CAD $2.5 million.
ABOUT KIMCO
Kimco Realty Corporation, a real estate investment trust (REIT), owns and operates North America’s largest portfolio of neighborhood and community shopping centers. As of September 30, 2011, the company owned interests in 940 shopping centers comprising 138 million square feet of leasable space across 44 states, Puerto Rico, Canada, Mexico and South America. Publicly traded on the NYSE under the symbol KIM and included in the S&P 500 Index, the company has specialized in shopping center acquisitions, development and management for more than 50 years. For further information, visit the company's website at www.kimcorealty.com.
SAFE HARBOR STATEMENT
The statements in this release state the company's and management's intentions, beliefs, expectations or projections of the future and are forward-looking statements. It is important to note that the company's actual results could differ materially from those projected in such forward-looking statements. Factors that could cause actual results to differ materially from current expectations include, but are not limited to, (i) general adverse economic and local real estate conditions, (ii) the inability of major tenants to continue paying their rent obligations due to bankruptcy, insolvency or a general downturn in their business, (iii) financing risks, such as the inability to obtain equity, debt, or other sources of financing or refinancing on favorable terms, (iv) the company’s ability to raise capital by selling its assets, (v) changes in governmental laws and regulations, (vi) the level and volatility of interest rates and foreign currency exchange rates, (vii) the availability of suitable acquisition opportunities, (viii) valuation of joint venture investments, (ix) valuation of marketable securities and other investments, (x) increases in operating costs, (xi) changes in the dividend policy for our common stock, (xii) the reduction in our income in the event of multiple lease terminations by tenants or a failure by multiple tenants to occupy their premises in a shopping center, (xiii) impairment charges, and (xiv) unanticipated changes in our intention or ability to prepay certain debt prior to maturity and/or hold certain securities until maturity. Additional information concerning factors that could cause actual results to differ materially from those forward-looking statements is contained from time to time in the company's Securities and Exchange Commission filings, including but not limited to the company's Annual Report on Form 10-K for the year ended December 31, 2010. Copies of each filing may be obtained from the company or the Securities and Exchange Commission.
The company refers you to the documents filed by the company from time to time with the Securities and Exchange Commission, specifically the section titled "Risk Factors" in the company's Annual Report on Form 10-K for the year ended December 31, 2010, as may be updated or supplemented in the company’s Form 10-Q filings, which discuss these and other factors that could adversely affect the company's results.