Kite Realty Group (KRG) to acquire Retail Properties of America (RPAI) in stock merger.

Kite Realty Group Trust (KRG) and Retail Properties of America, Inc. (RPAI) announced today that they have agreed to merge, with KRG continuing as the surviving public company.  The combined entity will have an operating portfolio of 185 shopping centers with 32 million square feet of GLA and an estimated enterprise value of approximately $7.5 billion.  The joint announcement cited a number of key benefits including:
      • Expense savings estimated at $27 - $29 million annually.
      • Enhanced portfolio diversification and deeper presence in key markets.
      • Expected lower cost of capital as a larger company.
The transaction is expected to close in the fourth quarter of 2021 subject to customary closing conditions, including the approval of both KRG and RPAI shareholders.