Kimco Realty Announces Pricing of $500 Million 3.20% Notes due 2021

Business Wire

NEW HYDE PARK, N.Y.--(BUSINESS WIRE)--

Kimco Realty Corp. (KIM) yesterday announced its public offering of $500 million notes due 2021 at a coupon of 3.20% per annum with an effective yield of 3.232%, maturing May 1, 2021. The company intends to use the net proceeds of approximately $495.4 million from the offering for general corporate purposes, including to (i) partially reduce borrowings under its revolving credit facility maturing in October 2018, which borrowings bear interest at a rate of one-month LIBOR plus 0.925%, and (ii) pre-fund near-term maturities, including one or more of its (a) $100 million aggregate principal amount of 5.95% Senior Notes due June 2014, (b) $194.6 million aggregate principal amount of 4.82% Senior Notes due June 2014 and (c) $97.6 million of mortgage debt maturing during the remainder of 2014 with a weighted average interest rate of 6.14%. In connection with the issuance, the company modified the terms of the unencumbered total asset value maintenance covenant governing the notes so that, for the purposes of calculating the covenant, the company will exclude from total assets its investments in unconsolidated joint ventures and include in total assets the company’s proportionate interest in the aggregate undepreciated book value of the real estate assets of such unconsolidated joint ventures that are unencumbered. Settlement of the offering is subject to customary closing conditions and is expected to occur on April 24, 2014.

Citigroup Global Markets Inc., UBS Securities LLC, Wells Fargo Securities, LLC, Deutsche Bank Securities Inc. and Merrill Lynch, Pierce, Fenner & Smith Incorporated served as the joint book-running managers for this offering. J.P. Morgan Securities LLC, PNC Capital Markets LLC and RBC Capital Markets, LLC served as the senior co-managers. Barclays Capital Inc., BB&T Capital Markets, a division of BB&T Securities, LLC, BBVA Securities Inc., Morgan Stanley & Co. LLC, Regions Securities LLC, Scotia Capital (USA) Inc., SMBC Nikko Securities America, Inc. and U.S. Bancorp Investments, Inc. served as the co-managers.

The offering was made pursuant to an effective shelf registration statement, prospectus and related prospectus supplement. Copies of the prospectus supplement and the base prospectus, when available, may be obtained by contacting Citigroup Global Markets Inc. toll-free at 1-800-831-9146, UBS Securities LLC toll-free at 1-877-827-6444, ext. 561-3884 or Wells Fargo Securities, LLC toll-free at 1-800-326-5897.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or other jurisdiction.

ABOUT KIMCO

Kimco Realty Corp. (KIM) is a real estate investment trust (REIT) headquartered in New Hyde Park, N.Y., that owns and operates North America’s largest portfolio of neighborhood and community shopping centers. As of December 31, 2013, the company owned interests in 852 shopping centers comprising 124.5 million square feet of leasable space and 575 other property interests, primarily through its preferred equity investments and other real estate investments totaling 13.2 million square feet of leasable space, for a grand total of 1,427 properties aggregating 137.7 million square feet of leasable space across 42 states, Puerto Rico, Canada, Mexico and South America. Publicly traded on the NYSE since 1991, and included in the S&P 500 Index, the company has specialized in shopping center acquisition, development and management for more than 50 years.

SAFE HARBOR STATEMENT

The statements in this 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 that could 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 terms favorable 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, (vii) risks related to the company’s international operations, (viii) the availability of suitable acquisition and disposition opportunities, (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, including but not limited to the company’s Annual Report on Form 10-K for the year ended December 31, 2013 and any subsequent Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q or Current Reports on Form 8-K. 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, 2013, as it may be updated or supplemented by subsequent Annual Reports on Form 10-K or Quarterly Reports on Form 10-Q filed with the SEC, which discuss these and other factors that could adversely affect the company’s results.

Contact:
Kimco Realty Corp.
David F. Bujnicki, +1-866-831-4297
Vice President, Investor Relations and Corporate Communications
dbujnicki@kimcorealty.com
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