KANSAS CITY, KS—Kohlberg Kravis Roberts & Co. and RED Legacy have completed the $131.5 million acquisition of the Legends Outlets Kansas City, which a venture led by Morgan Stanley had let fall into foreclosure last year.
The partners reportedly beat out other companies such as Tanger Factory Outlet Centers and Macerich Co. with a successful bid at a receiver-mandated court auction held earlier this year. The 1.1-million-sq.-ft. center is at the intersection of Interstate 435 and Parallel Parkway just north of Interstate 70. The property includes a movie theater and almost 100 stores, such as Saks Fifth Avenue OFF 5TH, Banana Republic Factory Store, Gap Outlet, J.Crew, Nike Factory Store, Polo Ralph Lauren Factory Store, Tommy Hilfiger and Under Armour.
Ralph F. Rosenberg, KKR Head of Real Estate, says in a statement that the future focus will be to attract additional outlet center retailers to the development that are unique to the Greater Kansas City marketplace. “The closing of Legends Outlets Kansas City, our first collaboration with RED Legacy, represents the joint vision our firms share in acquiring high-quality assets that benefit from diverse demand drivers with significant rent-growth potential,” Rosenberg says. “Moving forward we are confident Legends Outlets Kansas City’s already impressive traffic and sales numbers will increase as our leasing and marketing efforts get underway.”