Kimco Sells InTown Suites To Starwood Capital For $735M

NEW HYDE PARK, NY-After selling off 23 assets over the last 12 months, Long Island-based retail REIT Kimco Realty Corp. is continuing to dispose of its non-core properties. The company is now selling the InTown Suites company and related real estate assets for a gross sales price of $735 million, including $617 million of existing debt to a subsidiary of Starwood Distressed Opportunity Fund IX, an affiliate of Greenwich, CT-based Starwood Capital Group. The transaction is expected to be completed by the first half of 2013, according to a company statement.

InTown Suites — comprised of 138 extended stay properties with approximately 18,000 rooms across 21 states — is owned by InTown Hospitality Investors LP, a joint venture in which Kimco holds a 75% interest. The portfolio is predominatly located in the Southeast and Southwest, with concentrations in Texas, Georgia and Florida.