Tanger buys shopping center in Kansas City for $130M

[REIT. Real estate investment trust. Financial Market. Hand pressing button on screen]
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Tanger (NYSE:SKT [https://seekingalpha.com/symbol/SKT]) has acquired [https://seekingalpha.com/pr/20234741-tanger-acquires-legends-outlets-in-kansas-city-kansas] Legends Outlets, a ~690K-square-foot open-air shopping venter in Kansas City, Kansas, for about $130M, the REIT said on Tuesday.

This marks the fourth outlet center of seven seven total open-air shopping centers to join Tanger’s (NYSE:SKT [https://seekingalpha.com/symbol/SKT]) portfolio since 2022.

The acquisition used available liquidity and the assumption of a $115M commercial mortgage-backed security loan that matures in November 2027.

In conjunction with closing the deal, Tanger (SKT [https://seekingalpha.com/symbol/SKT]) settled some $70M of previously issued forward equity. The company estimates the center will deliver an 8% return during the first year, with potential for additional investment and growth over time.

Legends is 93% occupied and features over 100 stores, restaurants, and entertainment venues.

“Anchoring the state’s premier entertainment district, Legends offers a holistic shopping experience, with the brands, dining, and entertainment options today’s shoppers want, surrounded by numerous traffic-driving attractions," said Tanger President and CEO Stephen Yalof.

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