Search
 

Kite Expects $500M Infusion

INDIANAPOLIS-The REIT is in negotiations to form a JV to fund $1.25 billion in expansion.

By Marita Thomas | Updated on August 09, 2006

INDIANAPOLIS-Before the ink has dried, locally based Kite Realty Group Trust tells Wall Street analysts it is in negotiations with “a major financial institution” to form a $500-million joint venture. John Kite, president and CEO, disclosed the pending deal during a second-quarter conference call and said it would fund up to $1.25 billion in development and acquisitions.

Pressed for details, he said, though “not fully completed, we’re very close to executing documentation.” He said there was a chance Kite would “seed the JV with a few assets, but we’re not required to.” He also said his company was likely to retain a 20% interest in the joint venture.

“The deal allows us to decide which projects will go into the JV,” he added, saying that Kite would have a “100% decision” on what to do with projects of below $50 million. On projects above that amount, “the JV gets first rights.”

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.