DAYTONA, FL-Kite Realty Group Trust secured long-term financing on its International Speedway Square retail property. The $21 million loan has a 10-year term and carries a fixed interest rate of 5.77%.
Kite got cash out of the deal to pay down its revolving credit line. International Speedway Square is a 230,000 square foot power center anchored by Bed Bath & Beyond, Dick’s Sporting Goods, Michael’s, Old Navy, Staples, and Stein Mart.
“This long-term financing with Wells Fargo is one of many steps we are taking to strengthen our balance sheet,” says Dan Sink, Chief Financial Officer, of Kite Realty Group. “The terms of the loan reflect the strength of the real estate and the long-term value created by a number of new and renewal leases we successfully executed at this property over the last eighteen months.”
International Speedway Square is one of the best retail properties in Volusia County, according to Anthony Blanco, managing partner at Plaza Advisors. That he says, is because the center is located in heart of the Daytona Beach retail corridor along US Highway 92, immediately east of Interstate 95—and the center has a strong anchor tenant line up that draws shoppers from a wide area.
“The refinancing that Kite was able to achieve for International Speedway Square illustrates what we are seeing in the return of attractive debt terms for best in class retail properties, particularly those with successful operating histories and experienced owners like Kite Realty,” Blanco tells GlobeSt.com. “With a number of other very strong retail projects throughout Florida, I expect Kite Realty will continue to capitalize on the refueled lending market and find success in strengthening their balance sheet.”
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