Kite FFO Dips, Plans to Sell Off Properties
Indianapolis-based Kite Realty Group Trust (NYSE: KRG) is reporting full-year Funds from Operations of $167 million in 2018, down from $171 million the previous year. The company has also announced plans to offload up to $500 million in assets in an effort to reduce its debt.
Chief Executive Officer John Kite says 2018 was a strong year for the company in terms of operational performance and strategic execution.
"As we head into 2019, we are focused on taking KRG to the next level," Kite said in a news release. "We have conducted a bottoms-up analysis of our entire portfolio and all major U.S. markets, and we have identified a strategy to fortify our balance sheet even further by selling $350 to $500 million in assets to pay down debt, improve our portfolio metrics, and focus our operations in markets where we can gain scale and generate attractive returns."
Kite did not specify which properties in its portfolio are being targeted for sale.
The company is also reporting a full-year net loss of $46.5 million, compared to net income of $13.9 million in 2017. You can view the full earnings report by clicking here.