Kite Realty Group Reports New Material Agreement & Financial Obligation

TL;DR

**Kite Realty Group just took on new debt or made a big deal, watch for details!**

AI Summary

Kite Realty Group Trust and its operating partnership, Kite Realty Group, L.P., filed an 8-K on January 17, 2024, reporting an event that occurred on January 12, 2024. This filing indicates the entry into a material definitive agreement and the creation of a direct financial obligation. While the specific details of the agreement and obligation are not disclosed in this summary, investors should understand that such events can impact the company's financial health and future cash flows, potentially affecting stock valuation.

Why It Matters

This filing signals new financial commitments for Kite Realty Group, which could affect its balance sheet, profitability, and ability to pay dividends, directly impacting shareholders.

Risk Assessment

Risk Level: medium — The filing indicates new financial obligations without disclosing specifics, creating uncertainty about the potential impact on the company's financial health.

Analyst Insight

Investors should monitor subsequent filings or press releases from Kite Realty Group for specific details regarding the 'material definitive agreement' and 'direct financial obligation' to assess their financial impact.

Key Players & Entities

• Kite Realty Group Trust (company) — registrant
• Kite Realty Group, L.P. (company) — operating partnership of the registrant
• January 12, 2024 (date) — date of earliest event reported
• January 17, 2024 (date) — filing date of the 8-K

FAQ

Key Financial Figures

• $0.01 — e on which registered Common Shares, $0.01 par value per share KRG New York St
• $350 million — ed the previously announced offering of $350 million aggregate principal amount of 5.500% Se
• $120 million — the offering of the Notes to repay its $120 million unsecured term loan, to repay in full i
• $150 m — gregate principal amount outstanding of $150 million, and for general corporate purpos

Filing Documents

• tm243234d5_8k.htm (8-K) — 54KB
• tm243234d5_ex4-2.htm (EX-4.2) — 132KB
• tm243234d5_ex5-1.htm (EX-5.1) — 17KB
• tm243234d5_ex99-1.htm (EX-99.1) — 250KB
• tm243234d5_ex5-1img01.jpg (GRAPHIC) — 11KB
• 0001104659-24-004476.txt ( ) — 780KB
• krg-20240112.xsd (EX-101.SCH) — 3KB
• krg-20240112_def.xml (EX-101.DEF) — 26KB
• krg-20240112_lab.xml (EX-101.LAB) — 35KB
• krg-20240112_pre.xml (EX-101.PRE) — 24KB
• tm243234d5_8k_htm.xml (XML) — 7KB

01. Entry into a Material Definitive Agreement

Item 1.01. Entry into a Material Definitive Agreement. On January 17, 2024, Kite Realty Group, L.P. (the "Operating Partnership"), the operating partnership of Kite Realty Group Trust (the "Company"), completed the previously announced offering of $350 million aggregate principal amount of 5.500% Senior Notes due 20 34 (the "Notes"). The issuance of the Notes is pursuant to an Indenture, dated September 26, 2016 (the "Base Indenture"), between the Operating Partnership, as issuer, and U.S. Bank Trust Company, National Association (as successor in interest to U.S. Bank National Association), as trustee (the "Trustee"), as supplemented by the Second Supplemental Indenture, dated January 17, 2024 (the "Supplemental Indenture" and, together with the Base Indenture, the "Indenture"), among the Operating Partnership, the Company, as possible future guarantor, and the Trustee. The Notes bear interest at a rate of 5.500% per annum accruing from January 17 , 2024. Interest on the Notes is payable semi-annually on March 1 and September 1 of each year, beginning on September 1, 2024. The Notes will mature on March 1, 2034. The Notes are the Operating Partnership's unsecured and unsubordinated obligations and rank equally in right of payment with all of the Operating Partnership's existing and future unsecured and unsubordinated indebtedness. The Notes are not guaranteed by any subsidiary of the Company and will not initially, and may never, be guaranteed by the Company. However, under limited circumstances provided in the Supplemental Indenture, the Company will be required to guarantee the payment of principal of and premium, if any, and interest on the Notes when due if, and for so long as, the Company guarantees the Operating Partnership's obligations under its existing credit agreement. The Operating Partnership may redeem the Notes at its option prior to December 1, 20 33 (three (3) months prior to the maturity date) (the "Par Call Date") in whole or in part, at any

01. Other Events

Item 8.01. Other Events. The information set forth above under Item 1.01 is hereby incorporated by reference into this Item 8.01. In connection with the offering of the Notes, the Operating Partnership entered into an Underwriting Agreement (the "Underwriting Agreement") with J.P. Morgan Securities LLC, Wells Fargo Securities, LLC, and PNC Capital Markets LLC, as representatives of the several underwriters named therein (the "Underwriters"). The Underwriting Agreement contains customary representations, warranties and covenants by the Operating Partnership, customary conditions to closing, other obligations of the parties and termination provisions. Additionally, the Operating Partnership has agreed to indemnify the Underwriters against certain liabilities, including liabilities under the Securities Act of 1933, as amended (the "Securities Act"), or to contribute to payments the Underwriters may be required to make because of any of those liabilities. The Operating Partnership intends to use the net proceeds from the offering of the Notes to repay its $120 million unsecured term loan, to repay in full its 4.58% Senior Notes, Series B, due 2024, with an aggregate principal amount outstanding of $150 million, and for general corporate purposes. The foregoing description is a summary of the Underwriting Agreement and does not purport to be a complete statement of the parties' rights and obligations thereunder. The foregoing description is qualified in its entirety by reference to the full text of the Underwriting Agreement, a copy of which is attached as Exhibit 99.1 to this Current Report on Form 8-K and incorporated by reference herein.

01. Financial Statements and Exhibits

Item 9.01. Financial Statements and Exhibits. (d) Exhibits. Exhibit Number Description 4.1 Indenture, dated September 26, 2016, between Kite Realty Group, L.P., as issuer, and U.S. Bank Trust Company, National Association (as successor in interest to U.S. Bank National Association), as trustee (incorporated by reference to Exhibit 4.1 to the Current Report on Form 8-K of Kite Realty Group Trust and Kite Realty Group, L.P. filed with the SEC on September 27, 2016) 4.2 Second Supplemental Indenture, dated January 17, 2024, among Kite Realty Group, L.P., as issuer, Kite Realty Group Trust, as possible future guarantor, and U.S. Bank Trust Company, National Association (as successor in interest to U.S. Bank National Association), as trustee 4.3 Form of Global Note representing the Notes (included in Exhibit 4.2) 5.1 Opinion of Hogan Lovells US LLP 23.1 Consent of Hogan Lovells US LLP (included in Exhibit 5.1) 99.1 Underwriting Agreement, dated January 12, 2024, by and among Kite Realty Group, L.P. and J.P. Morgan Securities LLC, Wells Fargo Securities, LLC, and PNC Capital Markets LLC as representatives of the several underwriters listed on Schedule 1 attached thereto 104 Cover Page Interactive Data File (embedded with the Inline XBRL document). SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrants have duly caused this report to be signed on their behalf by the undersigned hereunto duly authorized. KITE REALTY GROUP TRUST Date: January 17, 2024 By: /s/ Heath R. Fear Heath R. Fear Executive Vice President and Chief Financial Officer KITE REALTY GROUP, L.P. By: Kite Realty Group Trust, its sole general partner Date: January 17 , 2024 By: /s/ Heath R. Fear Heath R. Fear Executive Vice President and Chief Financial Officer

View Full Filing

View this 8-K filing on SEC EDGAR