INVESTOR PRESENTATION SECOND QUARTER...Financing, 2007) (Real Estate Financing, 2007) (Real Estate...

INVESTOR PRESENTATION SECOND QUARTER

The statements in this presentation, including targets and assumptions, state

the Company’s and management’s hopes, intentions, beliefs, expectations or

projections of the future and are forward-looking statements. It is important to

note that the Company’s actual results could differ materially from those

projected in such forward-looking statements. Factors that could cause actual

results to differ materially from current expectations include the key

assumptions contained within this presentation, general economic conditions,

local real estate conditions, increases in interest rates, foreign currency

exchange rates, increases in operating costs and real estate taxes. Additional

information concerning factors that could cause actual results to differ

materially from those forward-looking statements is contained from time to

time in the Company’s SEC filings, including but not limited to the Company’s

Annual Report on Form 10-K. Copies of each filing may be obtained from

http://investors.kimcorealty.com/ or the SEC.

SAFE HARBOR

Cover: Lincoln Square, Philadelphia, PA Suburban Square, Ardmore, PA

High-quality assets, tightly clustered in major metro markets

that provide multiple growth leversPORTFOLIO QUALITY

FINANCIAL STRENGTH

3

KIMCO’S 2020 VISION STRATEGY

Maintain a strong balance sheet and financial flexibility

High-quality assets, tightly clustered in the top 20 major

metro markets that provide multiple growth levers

NAV CREATIONIncrease net asset value (NAV) through a curated

collection of mixed-use projects, redevelopments and

active investment management

7%9%

8%

76%

Portfolio Profile

GLA is defined as Gross Leasable AreaABR is defined as Annual Base RentAs of 6/30/2020

12%

19%

11%

58%

Anchors (> 10K SQFT)

Mid Tier Stores (5K – 10K SQFT)

National/Franchise-Based Small Shops (< 5K SQFT)

Local Small Shops(< 5K SQFT)

Pro-rataABR

GLA

Did You Know…• 10% of pro-rata ABR comes from Ground Leases primarily to high quality

institutional tenants• 88% of pro-rata ABR comes from Anchors, Mid Tier Stores, and

National/Franchise-Based tenants which typically have stronger credit profiles and greater access to capital

COVID-19: BUSINESS UPDATE

4

Full Service,

5.4%

QSR, 8.5%

5


5.2% Home Office/ Appliance

4.0% Home Improvement

3.5% Banking/ Finance

3.5% Other Essential

3.4% Pet Stores/ Veterinary

3.3% Medical/ Medical Supply

1.2% Auto Repair & Supply/ Gas Stations

Grocery/Warehouse Clubs/

Pharmacy 19.0%

Sporting Goods/ Hobby Retail Stores 5.3%

Personal Service 4.3%

Health Club/ Fitness 4.1%

Other Non-Essential 3.2%

Professional Service 1.6%

Entertainment/ Gathering Place 1.6%

Soft Goods 22.8%

Essential Retail 43%

Other Retail Services 43%

Restaurants 14%

Essential Retail Breakdown by Pro-rata ABR

% of

Pro-rata

ABR1

ABR is defined as Annual Base Rent as of 6/30/2020

99% 98% 97% 93%

89%

77% 75%73%

57%

50%

32%

25%20%

12% 11%5%

100% 100% 100% 100%95% 96%

100% 99% 98%

89%

99% 99%

62%

98%

88% 86%

0%

20%

40%

60%

80%

100%

6


Essential Retail

Other Retail Services

Restaurants

Openings by Category

97% Sept. 11

Shown at pro-rata shareAll percentages represent approximate amounts

89%

16%

77%

99%

95%

96%

Apr.30 Sept.11

56% Apr.30

7

COVID-19: BUSINESS UPDATERent Collections by Category

Shown at pro-rata shareData as of September 14, 2020, all percentages represent approximate amounts

Essential Retail

Other Retail Services

Restaurants

95%

51%

62%

98%

74%

74%

Q2 July August

98%

78%

75%

Q2 July August

Banking/ Finance 100% 99% 99%

Grocery/ Warehouse Clubs/ Pharmacy 99% 98% 99%

Home Improvement 97% 99% 99%

Pet Stores/ Veterinary 97% 98% 100%

Home Office/ Appliance 95% 98% 97%

Auto Repair & Supply/ Gas Stations 94% 96% 96%

Other Essential 84% 94% 92%

Medical/ Medical Supply 72% 94% 93%

Professional Service 70% 81% 80%

Sporting Goods/ Hobby Retail Stores 66% 91% 92%

Other Non-Essential 63% 90% 88%

Restaurants 62% 74% 75%

Soft Goods (including Off-Price) 52% 75% 84%

Personal Service 47% 72% 68%

Entertainment/ Gathering Place 29% 36% 42%

Health Club/ Fitness 19% 49% 46%

Total 71% 84% 86%

Revolving Credit Facility, $2.0B

Cash, $0.3B

2020 Debt Maturities, $0.1BSpend on (Re)development, $0.1BCapex, Tis, Landlord Costs, $0.1B

$0.0

$0.3

$0.5

$0.8

$1.0

$1.3

$1.5

$1.8

$2.0

$2.3

Sources Uses

8

Liquidity to Withstand COVID-19 Uncertainty

1. Every 6 months Kimco can monetize another 25% of it’s shares held pre-IPO, as of 6/30/20202. Includes repayments of $200M in July 2020 and $285M in August 2020.As of 8/15/2020, shown at pro-rata share

COVID-19: BUSINESS UPDATEB

illio

ns

2021 Debt Maturities

~$220M2

Unencumbered Properties

~80% of our properties (~320)

~80% of our Total NOI

Albertsons (NYSE:ACI) Marketable Securities Valuation:

$628M1

Additional Sources:

Additional Uses:

Total $2.3B Total $0.3B

Full $2.0B available on unsecured revolving credit facility (+$750M

accordion feature) priced at LIBOR + 76.5bps

9

Bond Covenant Overview


Consolidated Indebtedness Ratio

Consolidated Secured Indebtedness Ratio

Maximum Annual Service Charge

Ratio of Unencumbered Total Asset Value to Total Unsecured Debt

Threshold

<65%

<40%

>1.50

>1.50

As of 6/30/2020See 2020 Second Quarter Supplemental Information – Bond Indebtedness Covenant Disclosure for additional details and sourcing

1. Pro-rata includes JV’s and preferred stock

Additional $3.6B debt capacity

available or reduction of $1.3B of

Consolidated Income Available for Debt

Service before covenant violation

Covenants are calculated on a

trailing 12-month basis and

are based on GAAP, not cash,

revenue

June 30, 2020

39%

3%

8.2

2.5

Committed to...

Strong investment grade ratings

• BBB+ S&P

• Baa1 Moody’s

Lower Net Debt / EBITDA

• 8.6x (6.5x*) Consolidated

• 9.4x (7.3x*) Pro-rata1

Increase Fixed Charge Coverage

• 2.6x (5.6x*)

*includes gain on sale of cost method investment

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2020 2021 2022 2023 2024 2025 2026 2027 2028 Thereafter

Deb

t in

Mill

ion

s

Fixed Rate 4.07%*

Floating Rate 1.66%*

WAVG Term 4.1 Yrs

Secured Debt 89%

Unsecured Debt 11%

Fixed Rate 3.28%*

Floating Rate N/A

WAVG Term 11.3 Yrs

Secured Debt 7%

Unsecured Debt 93%

Data as of 8/15/2020;

Percentages are annual maturities of total pro-rata debt stack

*Weighted average

Well-Staggered Debt Maturities

One of the longest debt maturity profiles in the REIT industry

Consolidated Debt Joint Venture Debt

10

Consolidated and Pro-rata Joint Venture Debt


1%4%

13%

8% 8%8%9%

6% 7%

36%

Decades of Experience Unlocking Real Estate Value for Retailers


(Designation Rights, 2001)

(Designation Rights, 2003)

(Acquire/Real Estate Financing, 2002)

(Bond Purchase, 2002)

(Real Estate Financing/ Designation Rights,

2002)

(Acquire/Sale Leasebacks, 1998)

(Acquire/Release to tenants, 1997)


(Consortium acquires 5 grocery banners, 2013)

(Real Estate Financing, 2008)




(Albertsons Consortium acquires Safeway, 2015)


(Take-private acquisition,

2006)

(Acquisition, 2002)

Retail property experience and

financial acumen

History of successful retail real estate monetizations during past crises

Financial Crisis

Dot Com Bust

COVID-19Savings and Loan Crisis

11

(Acquire 60 leases, 1995)

1. 6/30/2020 valuation of 39.8 million shares of NYSE:ACI, Every 6 months Kimco can monetize another 25% of it’s shares held pre-IPOData is approximate

1995 2000 2005 2010 2015 Today

Working with real estate rich retailers

Announced intent to invest $50-$100M in

a separate investment vehicle

$207M Invested

Since 2006

$569M of Proceeds

through 2Q20

$628M1

Remaining ownership

interest

Investment in Albertsons

http://en.wikipedia.org/wiki/File:VenturePNG.png

http://en.wikipedia.org/wiki/File:Hechinger_1911-1999.png

12

Supporting our Tenants, Communities and Employees

Our Tenants Our Communities Our Employees

• Tenant Assistance Program (TAP) assistance applying for small

business loans

• Curbside Pickup™ Program

• Selectively offering rent deferrals

• Communicating critical information to tenants early and often through

our automated email tool

• Continuing to provide the public with critical goods and services1

• Increased janitorial services

• Offering the use of our centers for drive-thru testing, blood drives,

school lunch pick-ups etc.

1. All of our centers are operational

• Our workforce is home, with new laptops, cellular capability

and daily webinar training

• Paid time off for impacted employees


13

Innovating to Help Our Tenants Thrive


• Designated curbside pickup spots for use by all tenants and customers

• Helping businesses adapt while allowing customers to shop while feeling safe and comfortable.

• Providing small businesses owners new opportunities

• The number of BOPIS orders surged 208% between April 1 and April 20 compared with a year ago1

• 59% said they are more likely to use curbside pickup following COVID-192

“We are just thrilled about Kimco’s Curbside Pickup program. We’ve already been offering curbside pickup to our customers since the COVID-19 crisis began, but now with designated parking spots the process will be much more organized, and our customers willfeel more comfortable knowing that this is a “normal” part of the shopping experience.”

Deborah DeShazo, Owner, Shannon Jewelers @ Grand Parkway Marketplace, Spring, TX

1. CNBC.com April 27, 2020, Adobe Analytics2. CommerceHub Consumer Survey, April 2020Photo: Grand Parkway Marketplace, Spring, TX

300+centers

75%+ of Q2 online sales were fulfilled by stores, the hub of our

omnichannel experience,

significantly improving eCommerce gross

margin2

Stores were

instrumental in

fulfilling nearly 50% of

Q2 digital sales and

supporting very strong

digital demand6

Retailers Use Stores as Hubs in Response to COVID-19

14

Free expedited shippingDelivery from Store Same Day DeliveryCurbside Pickup Order Pickup

1. Best Buy 1Q21 Earnings Call transcript; May 2020

2. Dicks 2Q21 Earnings Call transcript; August 2020

3. Target 2Q20 Earnings Call transcript; August 2020

Stores enabled 75%+ of digital sales3

Growth of store enabled3:l Same day services 270%+

l Drive-up 734%l Shipt fulfillment 350%+

l BOPIS 60%+

Express Delivery,

offers 160,000+ items

delivered in less than

2 hours expanding to

nearly 2,000 stores in

the coming weeks4


65% of April online

sales were picked up

curbside or shipped

from a store…this

asset of the store base

is very real.1

Using stores to fulfill last mile logistic strategies

60%+ of onlineorders are picked

up in store5

4. Walmart Press Release April 30, 2020

5. Home Depot 2Q20 Earnings Call transcript; August 2020

6. Kohl’s 2Q20 Earnings Call transcript; August 2020

In-store

Online

15

Kimco Tenants Successfully Implement Omni-channel Retailing / BOPIS

1. Duluth Trading 4Q19 Earning Call; March 2020

2. Chipotle 1Q20 Earnings Call transcript; April 2020

3. At Home Press Release April 30, 2020

Mobile payments for in store pick up have

grown to 44% of total tender in the U.S.6

4. Dick’s Sporting Goods 4Q19 Earnings Call transcript; March 2020

5. Best Buy 4Q FY20 Earnings Call; Feb. 2020

6. Starbucks.com Supplemental Data: Mobile Dashboard; April 2020

Restaurants experienced digitalsales growth in March of 101% year over year through delivery, order ahead and catering2

Offering BOPIS from over 80% of the store base, 180+ stores3

42% of online sales are picked up in store5

33% of BOPIS customersmade an additional purchase in store1

BOPIS grew more than twice the rate of the 16% sales growth we saw in e-

commerce overall4


PORTFOLIO QUALITYat LINCOLN SQUARE, Philadelphia, PALive,Work,&Play

17

Portfolio Transformation

Data as of 12/31/2010 and 6/30/2020

PORTFOLIO QUALITY

400 U.S. Properties

329 Sites | 85% ABR

In 20 Top Core Markets71 sites | 15% ABR in Other Markets

2010 Top Markets 2020 Refocused Core Markets

816 U.S. Properties507 Sites | 63% ABRIn 20 Top Core Markets309 sites | 37% ABR in Other Markets

63 Canadal43 Mexico/South America

Major Metro Markets

85% of Annual Base Rent comes from our top Major Metro Markets*

*Markets noted on the map are Kimco’s top major metropolitan markets by percentage of pro-rata ABR as of 6/30/2020

Other Major Metro Markets

Coastal and Sun Belt Markets

Major Metro Markets

ABR Contribution

San FranciscoSacramentoSan Jose

Seattle

Portland

Los AngelesOrange CountySan Diego

Phoenix

Denver Chicago

DallasAustin Houston TampaAtlanta

MiamiFort Lauderdale

Orlando

Charlotte

Boston

New York

Philadelphia

Raleigh-Durham

82%

85%

3%

Population growth of 6.3 million

projected within the next 5 years

BaltimoreWashington D.C.

18

PORTFOLIO QUALITY

SIGNED

Maintained Strong Fundamentals

All figures are at Kimco’s share, for the second quarter

*During the trailing twelve months

U.S. OCCUPANCY

ANCHOR OCCUPANCY

RENTAL RATES FOR NEW LEASES

INCREASED

98.2%95.6%

22.9%6.5M SFLEASES TOTALING OVER

1,113*

19

PORTFOLIO QUALITY

3.9%

2.5%

2.1% 2.0%1.8% 1.7%

1.5% 1.4%1.2% 1.1%

Tenant Diversity

PORTFOLIO QUALITY

Data as of 6/30/2020, Percentages noted reflect pro-rata annual base rent (ABR) 20

Only 14 tenants with ABR exposure greater than 1.0%• Scale: 7,500 leases with 3,400 tenants• Stability: Fixed, contractual rents with bumps• Security: Average lease term of 10 years for anchors and 5 years for small shops

21

62.4%

70.3% 70.9%71.8%

73.9%

76.6%77.4%

60%

65%

70%

75%

80%

2Q14 2Q15 2Q16 2Q17 2Q18 2Q19 2Q20

Percent of KIM ABR from Grocery Anchored Centers

PSF is defined as Per Square Foot

Strength of our Grocers Equates to Strength in our Portfolio

Average Grocer Sales PSF

at Kimco Centers

$679 (up ~20% from 2Q 2014)

Average Portfolio Pro-rata RPSF of

$18.14 in 2Q 2020

(up 32% since 2Q 2014)

PORTFOLIO QUALITY

22

$14.12

$15.41 $15.74

$10.14

$11.73 $12.00

$9

$11

$13

$15

$17

2013-2015A 2016-2019A 2016-2020E

Growth through Leasing & Value Creation

Anchor Lease Spreads/Mark To Market

Mark to Market Spread on Anchor Leases: ~55%

Total Average RPSF up 38% since 2013

38% of Anchor Leases are “Legacy Leases” (20 years or

older); 68% mark to market

10% of Kimco’s Pro Rata ABR are ground leases; 119%mark to market

New Rent Expiring Rent Projected Rent

$A

BR

/SF +31.1%

+39.3%

+31.4%

PORTFOLIO QUALITY

NAV CREATIONat DANIA POINTE, Dania Beach, FLLive,Work,&Play

0

100

200

300

400

2015A 2016A 2017A 2018A 2019A 2020E

$102 $87

$136

$227 $208$130 -$150

$41

$125

$160

$191

$126

$35 -$50

$143

$212

Development and Redevelopment Investment

All figures are at Kimco’s share

1. As of 6/30/2020

Total Investment ($M)

NAV CREATION

DevelopmentRedevelopment

$296

$418

$334

24

$165 to $200

Remaining 2020E spend:

~$100M1

Mixed-Use Redevelopment: Pentagon Centre

NAV CREATION

Pentagon Centre

Headquarters

Head-

quarters

Pentagon

Centre

25

Pentagon CentreArlington, VA (across from Amazon’s HQ2)

Phase I Completed Q4 2019 Residential: 440 units, ‘The Witmer’ (open, 93% leased)Interior renovation and parking structure

Phase II Residential: 253 units, ‘The Milton’ Retail: ~16K SQFT

Commencement: 2020

‘The Milton’

The Milton

The

Witmer

Completed Mixed-Use Development: Dania Pointe

NAV CREATION

Dania BeachDania Beach, FL

Phase I Completed Q4 18 Retail: 330K SQFT

Anchors: TJMaxx, Ulta, BrandsMart, Hobby Lobby, YouFit Health Club

Phase II & III Completed Q2 20Retail: 417K SQFT (62% Leased)

Anchors: Urban Outfitters, Anthropologie, Regal Cinema, Bowlero, Tommy Bahama

Residential (GL): 850 unitsMeyers Group (600 units)

Residents moving in Q2 20Spirit Airlines (250 Units)

Hotel (GL): 350 roomsMarriott AC by Marriott

26

RetailResidential (GL)Office (NAP)Hotel (GL)Multi-level ParkingPublic Space

GL: Ground Lease

Redevelopment: The Boulevard

NAV CREATION

27

The BoulevardStaten Island, NY

Retail: ~400K SQFT (~90% pre-leased)Anchors: ShopRite, Ulta, Marshalls, Alamo Drafthouse

Est. costs/completion: $213.5/2020

Opening Fall 2020

Other retailers will begin opening in

2021

96PROPERTIES W/ PROJECTS

$706.1MGROSS INVESTMENT

9.1%

Redevelopment Activity Since 2015

BLENDED ROI

Completed Projects: Value Creation Realized

NAV CREATION

COMPLETED

5

REDEVELOPMENT

PROJECTS

WITH

A BLENDED RETURN

OF

15.9%

2020 Highlights

28

27 POTENTIAL PROJECTS

1.7M SFRETAIL GLA IN SCOPE*

>7,000RESIDENTIAL UNITS*

*Excludes Retail GLA in Scope and Residential Units for 6 projects in Master Planning

Future Opportunities

NAV CREATION

29

COMMUNICATE Openly with Our Shareholders

KIMCO TODAY

30

Environmental, Social and Governance (ESG): Responsible Practices

Maintain regular engagement with key stakeholder audiences, reporting accurate information on issues of relevance to those audiences

JOINED THE FTSE4Good Index Series for the first time

Our Priorities

Cultivate high levels of employee satisfaction and ensure diversity at all levels of the organization

Foster a sense of place at our shopping centers, creating people-centered properties that are more convenient and accessible

Help our tenants succeed and be a positive presence in the communities where we operate and live

Maximize efficiency of operations and protect our assets from disruption

Our Results

LAUNCHED a national call center to improve stakeholder responsiveness

AWARDED Nareit’s 2019 Retail Leader in the Light

REACHED 4,500 residential units entitled or constructed

SIGNED the CEO Action for Diversity & Inclusion Pledge

ACHIEVED our GHG goal, reducing Scope 1 and 2 emissions >10% since 2015

DONATED over $279,000 in cash, in-kind and employee matching

INSTALLED Curbside PickupTM infrastructure at over 300 properties

ISSUED an innovative $2.0 billion green credit facility tied to climate action

CERTIFIED as a Great Place to WorkTM

FOSTER an Engaged, Inclusive & Ethical Team

EMBRACE the Future of Retail

ENGAGE Our Local Communities

LEAD in Operations & Resiliency

During 2019 Kimco also formed an ESG Steering Committee and created creating an innovative Tenant Assistance Program (TAP) to assist tenants during the COVID-19 crisis.Our full 2019 Corporate Sustainability Report is available at kimcorealty.com

Our Pillars

at SUBURBAN SQUARE, Ardmore, PALive,Work,&Play APPENDIX

RECONCILIATION OF NON GAAP MEASURESNet Income to EBITDA & Net Debt/EBITDA Calculations

32

Net income/(loss) 748,118$ Net Debt / EBITDA Calculation

Interest of $2,398,588, $2,345,766 and $2,115,320, respectively48,015

Other interest - Net Debt 5,148,691$

Depreciation and amortization 73,559 Annualized Consolidated EBITDA 599,081$

Gain on sale of properties (1,850) Net Debt to Consolidated EBITDA 8.6x

Gain on sale of JV properties -

Impairment charges 138 Gain on sale of cost method investment 190,832$

Impairment of JV properties - Net Debt to Consolidated EBITDA (incl. Gain on sale of cost

method investment)

6.5x

Gain on monetization of Albertsons (190,832)

Profit participation from other real estate investments, net (1,186) Net Debt / EBITDA Calculation Pro-Rata (Including Preferreds)

Loss/(gain) on marketable securities (526,243)

Provision/(benefit) for income taxes 51 Net Debt (Pro-rata Share with JV) 5,729,948$

Consolidated EBITDA 149,770$ Preferred Stock 489,500

Debt 6,219,448$

Consolidated EBITDA 149,770$ Pro-rata EBITDA 155,710$

Prorata share of interest expense - real estate JV's 5,940 JV Depreciation 10,178

Prorata share of depreciation and amortization - real estate JV's 10,178 EBITDA 165,888$

EBITDA including prorata share - JV's 165,888$ Annualized EBITDA 663,551$

Net Debt and Preferred to Pro-rata EBITDA

Debt 5,350,378$ (including preferreds) 9.4x

Cash 201,687

Net Debt 5,148,691$ Gain on sale of cost method investment 190,832$

Net Debt and Preferred to Pro-rata EBITDA (incl. preferreds

Annualized Consolidated EBITDA 599,081 and gain on sale of cost method investment) 6.7x

KIMCO NOTES

33

INVESTOR PRESENTATION SECOND QUARTER...Financing, 2007) (Real Estate Financing, 2007) (Real Estate...

Documents

Transcript of INVESTOR PRESENTATION SECOND QUARTER...Financing, 2007) (Real Estate Financing, 2007) (Real Estate...