What's Happening?
Tanger, a leading owner and operator of outlet and open-air retail shopping destinations, has acquired Legends Outlets in Kansas City, Kansas. This acquisition, valued at approximately $130 million, includes the assumption of a $115 million CMBS loan. Legends Outlets, a 690,000-square-foot open-air shopping center, is Kansas' only outlet center and serves as a major retail anchor in the state's top tourist destination, Village West. The center features over 100 stores, restaurants, and entertainment venues, including popular brands like Nike, Sephora, and Under Armour.
Why It's Important?
The acquisition of Legends Outlets by Tanger represents a strategic expansion into a vibrant market with strong economic and residential fundamentals. This move aligns with Tanger's growth strategy to acquire well-located, open-air centers that offer a comprehensive shopping experience. The acquisition is expected to enhance Tanger's portfolio and provide opportunities for increased revenue through leasing and marketing initiatives. Additionally, the center's location in a major tourist area positions it as a key player in the region's retail landscape, potentially attracting more visitors and boosting local economic activity.
What's Next?
Tanger plans to rename the center Tanger Kansas City at Legends and leverage its brand to strengthen leasing, sales, and traffic. The company will implement its best-in-class operations for wellness, security, and sustainability, while also engaging with local leadership to support economic growth. Tanger's national loyalty program, TangerClub, will be introduced to offer guests more deals and rewards. The company will likely monitor the center's performance and explore further investment opportunities to maximize returns and enhance the shopping experience.
