Fitch rates Kimco notes BBB+

Fitch Ratings said it assigned a BBB+ rating to the $350 million 3.125% senior unsecured notes due 2023 issued by Kimco Realty Corp.

The notes were issued at a 125 basis-point spread to treasuries. The proceeds are expected to be used for general corporate purposes, including the partial repayment of amounts outstanding under the revolving credit facility and to prefund future debt maturities, Fitch said.

Kimco has an issuer default rating of BBB+, unsecured revolving credit facility rating of BBB+, senior unsecured term loan rating of BBB+, senior unsecured notes rating of BBB+ and preferred stock rating of BBB-.

The outlook is stable.

The ratings reflect Kimco's solid track record as a leading owner of community and neighborhood shopping centers, the company's large and diversified pool of retail properties, experienced leasing and management team and high quality, diversified tenant mix with a well-laddered lease-expiration schedule, Fitch said.

The ratings also factor in the company's demonstrated track record of accessing a wide variety of capital sources, the agency said.

These positive rating elements are balanced by slightly low fixed-charge coverage for the rating category and a competitive retail environment, Fitch said.

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