Kite Realty Group Trust (KRG, Financial) filed Quarterly Report for the period ended 2009-09-30.
Kite Realty Group Trust is a full-service, vertically integrated real estate investment trust focused primarily on the development, construction, acquisition, ownership and operation of high quality neighborhood and community shopping centers in selected growth markets in the United States. They own interests in a portfolio of operating retail properties, retail properties under development, operating commercial properties, a related parking garage, commercial property under development and parcels of land that may be used for future development. Kite Realty Group Trust has a market cap of $210.9 million; its shares were traded at around $3.35 with a P/E ratio of 2.6 and P/S ratio of 1.5. The dividend yield of Kite Realty Group Trust stocks is 7.2%.
As part of our overall financing and capital strategy to maintain a strong balance sheet with sufficient flexibility to fund our operating and development activities in a cost-effective way, we engaged in a number of financing activities in the third quarter of 2009. In August, the $8.2 million loan on our Bridgewater Crossing property was refinanced with a $7.0 million loan bearing interest at LIBOR plus 185 basis points and maturing in June 2013. We funded a $1.2 million paydown of this loan with cash. In September, the $15.8 million fixed rate mortgage loan on our Ridge Plaza property was retired prior to its October 2009 maturity using available cash.
As of September 30, 2009, approximately $90.2 million of our consolidated indebtedness was scheduled to mature in 2010, including scheduled monthly principal payments. We continue to seek to refinance or extend the majority of these maturities on satisfactory terms. We believe we have good relationships with a number of banks and other financial institutions that will allow us an opportunity to refinance these borrowings with the existing lenders or replacement lenders. While we can give no assurance, due to the current status of negotiations with existing and alternative lenders, we believe we will have the ability to extend, refinance, or repay all of our debt that is maturing through 2010. To the extent necessary, we may also utilize the availability on our unsecured revolving credit facility, pursuant to which we had approximately $69.5 million of availability as of September 30, 2009, or available cash. We continue to seek alternative sources of financing and other capital in the event we are not able to refinance our 2010 maturities on satisfactory terms, or at all.
Obtaining new financing is also important to our business due to the capital needs of our existing development and redevelopment projects. The properties in our development and redevelopment pipelines, which are primary drivers for our near-term growth, will require a substantial amount of capital to complete. As of September 30, 2009, our unfunded share of the total estimated cost of the properties in our current development and redevelopment pipelines was approximately $23 million. While we believe we will have access to sufficient resources to be able to fund our investments in these projects through a combination of our $32.6 million in available cash and cash equivalents, new and existing construction loans and draws on our unsecured credit facility, a prolonged credit crisis will make it more costly and difficult to raise additional capital, if necessary.
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Kite Realty Group Trust is a full-service, vertically integrated real estate investment trust focused primarily on the development, construction, acquisition, ownership and operation of high quality neighborhood and community shopping centers in selected growth markets in the United States. They own interests in a portfolio of operating retail properties, retail properties under development, operating commercial properties, a related parking garage, commercial property under development and parcels of land that may be used for future development. Kite Realty Group Trust has a market cap of $210.9 million; its shares were traded at around $3.35 with a P/E ratio of 2.6 and P/S ratio of 1.5. The dividend yield of Kite Realty Group Trust stocks is 7.2%.
Highlight of Business Operations:
In the third quarter of 2009, as part of our regular quarterly review, we determined that it was appropriate to write off the net book value on the Galleria Plaza operating property in Dallas Texas and recognize a non-cash impairment charge of $5.4 million. Our estimated future cash flows, which considers recent negative property-specific events, are anticipated to be insufficient to cover costs due to significant ground lease obligations and expected future required capital expenditures. The Company leases the ground on which the property is situated and currently intends to turn over the operations of and convey the title to the center to the ground lessor which will increase the Company s annual cash flows by approximately $700,000. The non-cash impairment has no effect on the Company s liquidity and there is no mortgage on the property.As part of our overall financing and capital strategy to maintain a strong balance sheet with sufficient flexibility to fund our operating and development activities in a cost-effective way, we engaged in a number of financing activities in the third quarter of 2009. In August, the $8.2 million loan on our Bridgewater Crossing property was refinanced with a $7.0 million loan bearing interest at LIBOR plus 185 basis points and maturing in June 2013. We funded a $1.2 million paydown of this loan with cash. In September, the $15.8 million fixed rate mortgage loan on our Ridge Plaza property was retired prior to its October 2009 maturity using available cash.
As of September 30, 2009, approximately $90.2 million of our consolidated indebtedness was scheduled to mature in 2010, including scheduled monthly principal payments. We continue to seek to refinance or extend the majority of these maturities on satisfactory terms. We believe we have good relationships with a number of banks and other financial institutions that will allow us an opportunity to refinance these borrowings with the existing lenders or replacement lenders. While we can give no assurance, due to the current status of negotiations with existing and alternative lenders, we believe we will have the ability to extend, refinance, or repay all of our debt that is maturing through 2010. To the extent necessary, we may also utilize the availability on our unsecured revolving credit facility, pursuant to which we had approximately $69.5 million of availability as of September 30, 2009, or available cash. We continue to seek alternative sources of financing and other capital in the event we are not able to refinance our 2010 maturities on satisfactory terms, or at all.
Obtaining new financing is also important to our business due to the capital needs of our existing development and redevelopment projects. The properties in our development and redevelopment pipelines, which are primary drivers for our near-term growth, will require a substantial amount of capital to complete. As of September 30, 2009, our unfunded share of the total estimated cost of the properties in our current development and redevelopment pipelines was approximately $23 million. While we believe we will have access to sufficient resources to be able to fund our investments in these projects through a combination of our $32.6 million in available cash and cash equivalents, new and existing construction loans and draws on our unsecured credit facility, a prolonged credit crisis will make it more costly and difficult to raise additional capital, if necessary.
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