JERICHO, N.Y., Nov. 02, 2026 (GLOBE NEWSWIRE) -- Kimco Realty® (NYSE: KIM) today announced the $295 million acquisition of Paddock Shops and Shelbyville Road Plaza, two grocery-anchored, open-air shopping centers in Louisville’s East End, home to the metro’s most affluent and desirable trade area. Anchored by Trader Joe’s and The Fresh Market, the centers total over 741,000 square feet and each draw over 4 million annual visits, according to Placer.ai. Combined with Festival at Jefferson Court, the company’s existing Kroger-anchored center, the acquisitions establish Kimco’s dominant grocery-anchored presence in Louisville.
“Paddock Shops and Shelbyville Road Plaza are exactly the kind of centers we want to own: grocery-anchored, in the strongest trade areas of a supply-constrained market,” said Conor Flynn, Chief Executive Officer of Kimco Realty. “We sold lower-growth assets and reinvested the proceeds into higher-growth opportunities that strengthen our presence in a market we find very attractive. These centers also offer meaningful embedded upside through the recapture of below-market leases and the opportunity to further enhance the tenant mix with dynamic brands and specialty retailers.”
Acquisition Highlights
- Higher-yield capital recycling: Acquired at a low 6% blended going-in cap rate, over 100 basis points above the approximately 5% average cap rate on Kimco’s 2026 dispositions.
- Embedded growth: Below-market rents on a number of leases and a clear remerchandising runway, with net operating income underwritten to grow approximately 4% per year over the next ten years.
- Supply-constrained market: Louisville shopping center vacancy is 3.9%, versus 6% nationally, the market ranks among the top 10 major U.S. markets for occupancy, and no new shopping center space is under construction, according to Cushman & Wakefield.
- Self-funded, leverage-neutral: Primarily funded with 1031 exchange proceeds from 2026 dispositions.
Paddock Shops is a 351,000-square-foot lifestyle center in northeast Louisville, the market’s premier retail corridor, and is 94% leased. Its shopper base has a median household income of approximately $122,000, nearly double the statewide figure, with roughly 60% holding a bachelor’s degree or higher, according to Placer.ai. The center will become part of Kimco’s Lifestyle Collection, the company’s group of signature open-air and mixed-use centers. Shelbyville Road Plaza is a 390,000-square-foot center in St. Matthews, the established retail hub of the Louisville metro, and is 92% leased. Across the two centers, national tenants include REI, Total Wine & More, Pottery Barn, West Elm, ULTA Beauty, Nordstrom Rack, Burlington, Ross Dress for Less and Old Navy.
“Louisville is a market we’ve targeted, and these centers give us meaningful scale in one of the strongest retail corridors,” said Ross Cooper, President and Chief Investment Officer of Kimco Realty. “We see significant opportunity to leverage our One Kimco platform to expand occupancy, drive rent growth and unlock additional value at both properties. Owning Paddock Shops, Shelbyville Road Plaza and Festival at Jefferson Court makes us the first call for retailers entering or expanding in Louisville.”
With the acquisitions, Kimco now owns three grocery-anchored centers in Louisville totaling 911,000 square feet. To view the acquisition slide deck, click here.
CONTACT:
David F. Bujnicki
Senior Vice President, Investor Relations and Strategy
Kimco Realty Corporation
(833) 800-4343
dbujnicki@kimcorealty.com
