Press Release: Kimco Realty Reports Second Quarter 2016 Transaction Activity

Press Release: Kimco Realty Reports Second Quarter 2016 Transaction Activity

Kimco Realty Reports Second Quarter 2016 Transaction Activity

Transactions Exceeded $1.0 Billion Highlighted by Canadian Asset Sales and Joint Venture Buyouts


NEW HYDE PARK, N.Y.--(BUSINESS WIRE)--July 07, 2016-- 
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Kimco Realty Corp. (NYSE:KIM) today announced that its transaction activity for the second quarter of 2016 exceeded $1.0 billion, including the disposition of 22 Canadian properties for a gross sales price of USD $474.4 million, as well as the previously announced acquisition of the remaining 45% interest in the Oakwood Plaza shopping center and Dania Pointe development project for a gross price of $299.2 million.

The second quarter transactions reflect the company’s commitment to executing its strategic 2020 Vision of owning high-quality assets in major metro markets in the U.S., while continuing to reduce its exposure to joint ventures. Since December 31, 2015, the company has sold a total of 29 Canadian properties, all of which were in joint ventures, representing approximately 90% of the company’s Canadian sourced net operating income. Kimco has six remaining Canadian shopping centers, all of which are in joint ventures and expected to be sold by year end.

Second Quarter Transaction Activity:

Dispositions: Sales for the second quarter totaled $696.0 million from the disposition of 34 shopping centers, totaling 4.3 million square feet, and one land parcel. Kimco’s share of the sales price was $562.9 million:


   -- Sold interests in 22 Canadian shopping centers, totaling 2.8 million 
      square feet, for a gross sales price of USD $474.4 million, including the 
      assignment of USD $213.5 million of existing mortgage debt. Kimco's share 
      of the sales price and mortgage debt assigned was USD $367.5 million and 
      USD $171.4 million, respectively. 
 
   -- Disposed of 12 unencumbered U.S. properties, totaling 1.5 million square 
      feet, for a gross sales price of $220.5 million. The company's share from 
      these sales was $194.4 million. 
 
   -- Sold one land parcel for a gross sales price of $1.1 million. 
 

The company’s 2016 guidance range for shopping center dispositions is $825 million – $975 million (Kimco’s share); year to date, the company’s share totaled $820.9 million from the sale of 29 Canadian properties for USD $522.8 million and 18 U.S. properties for $298.1 million.

Acquisitions: Second quarter acquisitions totaled $328.9 million of which Kimco’s share was $164.4 million:


   -- As previously announced, Kimco acquired the remaining 45% ownership 
      interest in the Oakwood Plaza shopping center and the Dania Pointe 
      development project for a gross price of $299.2 million, including the 
      assumption of $100.0 million of mortgage debt.Located in Hollywood, Fla., 
      Oakwood Plaza and Dania Pointe are adjacent properties situated along a 
      heavily traveled section of I-95 (260,000 cars/day) with approximately 
      two miles of freeway frontage. In addition, the properties are in close 
      proximity to the busy Fort Lauderdale-Hollywood International Airport 
      (24.6 million annual passengers) and Port Everglades international cruise 
      port (3.8 million annual passengers). 
   -- Acquired an improved parcel for $29.8 million at the Whole Foods anchored 
      Jericho Commons shopping center in the affluent community of Jericho, 
      N.Y. The average income levels exceed $147,000 within a three-mile 
      radius. In addition, the property, which sits along the heavily 
      trafficked Route 106 and Jericho Turnpike interchange, offers an 
      attractive future redevelopment opportunity given its strong demographic 
      profile. 
 

The company’s 2016 guidance range for shopping center acquisitions is $450 million – $550 million (Kimco’s share); year to date, the company’s share totaled $138.0 million.

ABOUT KIMCO

Kimco Realty Corp. (NYSE: KIM) is a real estate investment trust (REIT) headquartered in New Hyde Park, N.Y., that is North America’s largest publicly traded owner and operator of open-air shopping centers. As of March 31, 2016, the company owned interests in 550 U.S. shopping centers comprising 88 million square feet of leasable space across 36 states and Puerto Rico. Publicly traded on the NYSE since 1991, 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, please visit www.kimcorealty.com, the company’s blog at blog.kimcorealty.com, or follow Kimco on Twitter at www.twitter.com/kimcorealty.

SAFE HARBOR STATEMENT

The statements in this news 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 which may 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 to the company, (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 and management’s ability to estimate the impact thereof, (vii) risks related to the company’s international operations, (viii) the availability of suitable acquisition, disposition, development and redevelopment opportunities, and risks related to acquisitions not performing in accordance with our expectations, (ix) valuation and risks related to the company’s joint venture and preferred equity investments, (x) valuation of marketable securities and other investments, (xi) increases in operating costs, (xii) changes in the dividend policy for the company’s common stock, (xiii) the reduction in the company’s income in the event of multiple lease terminations by tenants or a failure by multiple tenants to occupy their premises in a shopping center, (xiv) impairment charges and (xv) unanticipated changes in the company’s 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 SEC filings. Copies of each filing may be obtained from the company or the SEC.

The company refers you to the documents filed by the company from time to time with the SEC, specifically the section titled “Risk Factors” in the company’s Annual Report on Form 10-K for the year ended December 31, 2015, as may be updated or supplemented in the company’s Quarterly Reports on Form 10-Q and the company’s other filings with the SEC, which discuss these and other factors that could adversely affect the company’s results. The company disclaims any intention or obligation to update the forward-looking statements, whether as a result of new information, future events or otherwise.

View source version on businesswire.com: http://www.businesswire.com/news/home/20160707006299/en/


 
    CONTACT:    Kimco Realty Corp. 
 

David F. Bujnicki, 1-866-831-4297

Senior Vice President, Investor Relations and Strategy

dbujnicki[a]kimcorealty.com