(Ian Ritter is national online editor for GlobeSt.com/RETAIL.)
NEW HYDE PARK, NY-Executives at Kimco Realty Trust say they expect to close their $4-billion acquisition of the 138-center Pan Pacific Retail Properties today. The closing of the transaction follows an announcement earlier in the month that Prudential Real Estate Investors will contribute $1.1 billion to the purchase of the San Diego-based REIT.
Meanwhile, Kimco is still looking at big-time portfolio buys. During their third-quarter conference call, vice chairman David Henry, acknowledged that Kimco had considered the acquisition of Inland Retail Real Estate, which Developers Diversified Realty is buying for $6.2 billion. "We took a very hard look at the Inland deal," he says.
For its quarter, which ended Sept. 30, Kimco purchased 65 centers at a total cost of $621 million. Included in those were 10 properties in Florida that are all anchored by the grocer Publix and were acquired in a joint venture with UBS Wealth Management
Internationally the company closed on six centers in Puerto Rico that are part of a seven-asset portfolio valued at $448 million. Kimco also started the development of three centers in Mexico, at a cost of $87 million. Executives say they are also interested in pursuing opportunities in Brazil and Chile.
In Canada the firm acquired two self-store facilities in a joint venture, bringing its portfolio of those properties to 12 north of the border. Kimco is also building the $183-million Faubourg Boisbriand Retail Development, totaling 1.2 million sf, in Montreal.
The company posted a net income of $91.4 million over the quarter, up from $85.3 million during the same period a year ago. FFO rose 19.2%, to $138.6 million, and occupancy in its centers grew to 95% from 94.8%. Based on the quarter, executives increased year-end guidance by two cents, expecting FFO per share to come in between $2.18 and $2.20Locally based Kimco operates nearly 1,140 properties throughout North America.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 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.
