Time New York: Sun 22 Oct 15:12 pm  |  Save 15% on H&R Block Online

  
caticonslite_bm_alt

Kimco (KIM) Begins Construction of Phase 1 at Dania Pointe

Zacks

Retail REIT, Kimco Realty Corp. KIM announced the groundbreaking at Dania Pointe’s Phase 1 retail part. Encouragingly, this project in Southern Broward County, FL, has grabbed much attention and its Phase 1 is already around 80% preleased to a number of national and regional retailers.

Slated to open for the 2018 holiday season, Phase 1 consists of 300,000 square feet of retail space. It will enjoy presence of popular brands like TJ Maxx of The TJX Companies, Inc. TJX, Ulta Beauty, Inc. ULTA, Hobby Lobby, BrandsMart, as well as several restaurants.

The move is a solid step toward the realization of the broader mixed-used project – Dania Pointe. Upon completion, Dania Pointe will become an open-air lifestyle community, with around 1 million square feet of retail and restaurants space, complemented by up to 500,000 square feet of Class A office space, 1,000 luxury rental apartments and condominiums, and two signature hotels.

Situated just next to I-95, this property will serve as the central location for residents going north and south on I-95, as well as east and west on I-595. Moreover, it is situated less than 10 minutes from the Fort Lauderdale-Hollywood International Airport and Port Everglades. Also, the site is only 20 minutes from upscale communities of Weston and Plantation to the west, Fort Lauderdale and Pompano Beach to the north, and Hollywood and North Miami Beach to the south. This makes the property easily accessible to tourists and tri-county residents.

Mixed-use Developments

Notably, mixed-use developments have gained popularity for their solid neighborhood character, greater housing variety and density. These developments bring down the distance between housing, workplaces, retail businesses, and other amenities and destinations. Hence, such developments enable the companies to grab the attention of people, who prefer to live, work and play in the same area – a trend that drove development in several other cities in the U.S.

In addition to Kimco, Regency Centers Corp. REG is exploring the positives of mixed-use developments. The company announced a new mixed-use ground-up development – Mellody Farm – in Vernon Hills, IL, in Apr 2017.

In Conclusion

Kimco’s premium properties in high-growth areas, presence of well-capitalized retailers in its tenant roster, investments in high-quality neighborhood and community shopping centers, and shedding of non-core assets augur well for growth. However, rising online sales, store closures, tenant bankruptcy and earnings dilution, led by high disposition activity, remain causes of concern.

Kimco currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

However, year to date, amid the choppy retail real estate environment, shares of Kimco underperformed the industry it belongs to. During this time frame, shares of the company descended 18.6%, whereas the industry incurred a loss of 4.0%.



Will You Make a Fortune on the Shift to Electric Cars?

Here's another stock idea to consider. Much like petroleum 150 years ago, lithium power may soon shake the world, creating millionaires and reshaping geo-politics. Soon electric vehicles (EVs) may be cheaper than gas guzzlers. Some are already reaching 265 miles on a single charge.

With battery prices plummeting and charging stations set to multiply, one company stands out as the #1 stock to buy according to Zacks research.

It's not the one you think.

See This Ticker Free >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

To read this article on Zacks.com click here.

Zacks Investment Research
<-- You can share this post with your network,
or give us your opinion and leave a comment.
Be sure to check our RSS feeds for updates.