Kimco Realty Purchases 10-Property Shopping Portfolio Valued At $276M From Existing Joint Venture

Kimco Realty Corp.

today announced that it acquired a portfolio of 10 high-quality shopping centers from its joint venture with SEB Asset Management for a gross price of $275.8 million, including the assumption of $193.6 million of mortgage debt. Kimco, which previously held a 15% ownership interest in these properties, paid approximately $69.8 million for the remaining 85% equity interest held by SEB Asset Management, the Group´s specialist real estate manager. This 1.4 million square foot portfolio is located in mature markets in the Mid-Atlantic region that have high barriers to entry and strong household income levels. The predominately grocery-anchored portfolio is 95.4% occupied and its anchors include Giant Food, Harris Teeter, Weis Markets, Safeway, Food Lion with Kroger and Sam's Club as shadow anchors. The properties also feature a well-known lineup of national retailers including Ross Stores, Bed Bath & Beyond, Marshalls, Kohl's, PetSmart, and Michaels with Target and Lowes as shadow anchors. With this acquisition, Kimco continues to execute on the company's strategy of transforming its portfolio and simplifying its business by acquiring high-quality assets and reducing the number of properties in joint ventures. This transaction represents the third joint venture portfolio acquisition by Kimco in 2014. Year to date, the company has added 25 joint venture properties with a gross value of $776.9 million and 3.2 million square feet to its wholly-owned portfolio. These properties boast occupancy and average rent per square foot of 96.3% and $16.71, respectively.