Kimco Realty Expands with The Markets at Town Center Acquisition

Kimco Realty, a leading real estate investment trust (REIT) specializing in high-quality, open-air shopping centers throughout the United States, has strategically expanded its presence in Florida by acquiring The Markets at Town Center. This property, located in Jacksonville, spans 254,000 square feet and was purchased for $108 million. The acquisition marks the inaugural transaction under Kimco's Structured Investment Program, which previously involved a $15 million mezzanine financing element. This program uniquely positions Kimco for future growth by securing rights of first refusal on potentially lucrative properties. Ross Cooper, the President and Chief Investment Officer of Kimco, has emphasized the program's role in enhancing Kimco's portfolio through potential equity ownership transitions. The Markets at Town Center benefits from prime positioning in a sought-after area near St. Johns Town Center, boasting significant demographic advantages, including a populous and affluent consumer base, driving high foot traffic. The center enjoys a robust occupancy rate of 97% with a diverse tenant mix, including Sprouts Farmers Market and Costco Wholesale. Other significant tenants range from dining to lifestyle brands, making it a key asset in Kimco's portfolio. The acquisition underscores Kimco's overarching strategy to capitalize on high-barrier-to-entry markets through a diversified mix of grocery and essential goods-focused properties. As of late 2024, Kimco's presence in Jacksonville encompasses six properties with substantial square footage, which aligns with its broader portfolio of shopping centers and mixed-use developments nationwide. Kimco's long-standing industry reputation and its commitment to corporate responsibility further enhance its standing as a leader in the REIT sector.