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National  + Retail  | 
12th Street Plaza Vero Beach FL Kite Realty Group

Kite Realty, RPAI Agree to $7.5B Merger

Kite Realty Group Trust (KRG) and Retail Properties of America (RPAI) said Monday that they had agreed to merge, with KRG continuing as the surviving public company. The stock-for-stock transaction creates a company that is expected to have an equity market capitalization of approximately $4.6 billion and a total enterprise value of approximately $7.5 billion.

The merger will create an operating portfolio of 185 open-air shopping centers spanning approximately 32 million square feet of owned gross leasable area. These properties are primarily located in “warmer and cheaper” metro markets, with 70% of centers having a grocery component. 

“The combination of our firms brings together two high-quality, complementary portfolios,” said John A. Kite, KRG’s chairman and CEO. “This merger further demonstrates our conviction in open-air retail centers as essential shopping destinations and last-mile fulfillment centers.”

At RPAI, CEO Steve P. Grimes said, “After many years of curating both of our portfolios, combining them into one company will allow us to generate the best results for both sets of shareholders over the long term. Our increased scale will benefit the business both operationally and financially.”

Pictured: KRG’s 12th Street Plaza in Vero Beach, FL.

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About Paul Bubny

Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 13-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 15-20 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces. Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications. Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).

  • ◦Sale/Acquisition
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