Real estate investment trust Kimco Realty is gearing up for the United States’ reopening, as the firm announces the launch of curbside pickup spaces.
Earlier this week, the Jericho, New York-based real estate firm announced that it would be rolling out designated curbside pickup spaces at parking lots in up to 23 locations across Texas state.
Optimizing in the Face of the Coronavirus
Kimco is currently one of the largest publicly-traded operators of open-air, grocery-anchored shopping centers, and mixed-use assets in North America. The firm has over 400 shopping centers and locations, and according to its official announcement, it would be putting the pickup parking spots out for its customers to help them adapt to new shopping habits in the wake of the coronavirus pandemic.
Kimco added that the initiative would help it to optimize its workflow as it navigates the coronavirus pandemic. It also plans to launch it worldwide in the coming days. Kimco also believes that it will allow people to get their orders faster, without coming into contact with others.
Kimco first installed the delivery posts at the Grand Parkway Marketplace in Spring, Texas. That location alone now houses 60 curtsied parking spots. Whenever shoppers place curbside parking orders, the firm’s workers will instruct them where to pick their deliveries.
Company Chief Executive Conor Flynn said in the statement that some of Kimco’s national retailers have already started seeing significant increases in the number of curbside delivery orders. As he explained, orders in some places have risen as high as 200 percent.
“By formalizing the process and expanding it beyond national retailers to our local mom and pops, we hope to help tenants quickly ramp back up sales as the economy begins to open again,” he added.
The continued increase in curbside order trends is coming as more Americans have begun to rely on e-commerce and retail stores for their needs. With millions now forced to stay home as a result of the coronavirus pandemic, retail firms have had to find ways to work around the social distancing requirements and ensure that people can come into their locations and shop freely. Kimco is merely adjusting to the trends.
Kimco Shares Jump as Liquidity Surges
The firm has also had a rather impressive week, as its stock surged by as much as 10 percent in the first half-hour of trading on Tuesday.
The company has been able to improve its liquidity, thus ensuring the viability of the business. A report from The Motley Fool explained that about 75 percent of Kimco’s rentable space goes to retailers.
While those tenants are essential businesses and have remained open, their rent counts for just 60 percent of kimono’s revenues. About 30 percent of the firm’s rent comes from companies that have had to close down too.
To offset the impact of the pandemic on its revenues, Kimco worked to adjust its credit, thus bringing available liquidity to $2.2 billion. While The Motley Fool explains that the firm isn’t out of the woods yet, initiatives like expanded curbside delivery will help to keep the stores in its locations regulatory-compliant and attract customers.