Kimco Realty Acquires 390,499-SF Shelbyville Road Plaza in Louisville from Hagan Properties

Kimco Realty has acquired Shelbyville Road Plaza, a 390,499-square-foot open-air retail center in Louisville, Ky., from Hagan Properties. Mid-America Real Estate Corporation's Investment Sales Group brokered the sale, the firm announced Nov. 5.

Shelbyville Road Plaza Sale Details

Shelbyville Road Plaza, located at 4600 Shelbyville Road in the St. Matthews area of Louisville, is an open-air, grocery-anchored shopping center. The property is approximately 92% leased. Kimco Realty (NYSE: KIM) was the buyer, and Hagan Properties was the seller.

The Shelbyville Road Plaza allocation was approximately $161 million, based on a Kimco spokesperson's allocation of the combined purchase price. That equates to roughly $412 per square foot, an estimate based on the allocation and the center's 390,499 square feet rather than a recorded standalone sale price.

Mid-America Real Estate Group said the center is anchored by national and regional retailers that consistently rank among the best performers in Kentucky, which it said provides momentum for future leasing activity. Tenants include Nordstrom Rack, Burlington, Trader Joe's, Ross Dress for Less, Old Navy, Off Broadway Shoes and J.Crew Factory.

Mid-America Real Estate Group Brokerage Team

Mid-America Real Estate Corporation Principals Joe Girardi and Ben Wineman, along with Senior Associate Patrick Corrigan, were the brokers in the transaction. Girardi and Wineman are licensed Kentucky brokers.

Part of Kimco's $295 Million Louisville Purchase

Kimco Realty acquired Shelbyville Road Plaza alongside the 351,000-square-foot Paddock Shops, also in Louisville, in a combined $295 million purchase covering more than 741,000 square feet. The two centers are anchored by Trader Joe's and The Fresh Market, respectively, and are located in Louisville's eastern and southeastern suburban retail corridors.

Kimco reported the two-property acquisition at a blended initial capitalization rate in the low-6% range. The company said the purchase recycles capital at a spread of more than 100 basis points over the approximately 5% average capitalization rate on properties it sold during 2026. Kimco's strategy combines current income with upside from below-market rents, leasing and remerchandising.

Louisville Retail Market Context

Louisville and Lexington had a combined retail vacancy rate of approximately 3.1% in the second quarter of 2026. Asking rents averaged $18.71 per square foot, and annual rent growth was 5.9%. The market recorded approximately $104 million in second-quarter retail sales volume, with 146,000 square feet under construction.

Louisville-area retail transactions averaged approximately $146 per square foot in the second quarter of 2026, with average cap rates of approximately 8.3%. Marcus & Millichap characterized the first half of 2026 as Louisville's strongest six-month period for net absorption since late 2021, with healthy fundamentals in the southern and eastern suburbs.

With Shelbyville Road Plaza approximately 92% leased, the center's remaining availability and tenant roster align with Kimco's stated approach of capturing rent growth as leases roll and pursuing leasing and remerchandising opportunities.

Sources

• Mid-America Real Estate Group: Mid-America Executes Sale of Shelbyville Road Plaza in Louisville, KY