John Kite, chairman and CEO of Kite Realty Group Trust (NYSE: KRG), sat down for a video interview at Nareit’s REITweek: 2026 Investor Conference in New York, June 1-4.
Kite Realty has spent the past two years reshaping its portfolio to improve long-term growth and resilience. Kite said the REIT sold approximately $600 million of lower-growth assets with the idea of reallocating capital toward higher-quality properties with stronger growth potential. The company also repurchased $400 million of its own stock, As a result, the company's embedded rent growth has increased from 156 basis points to 182 basis points.
Looking ahead, Kite said the company remains focused on necessity-based retail, grocery-anchored centers, and mixed-use properties in high-growth markets, particularly across the Southeast. Investment decisions continue to prioritize real estate quality and embedded growth, while capital allocation is guided by the highest risk-adjusted returns.
That strategy has favored re-tenanting and redevelopment within the existing portfolio, though Kite said the company remains selective about new ground-up developments, citing its One Loudoun project in Ashburn, Virginia as an example.
Kite also argued that public market valuations have yet to fully reflect the strength of open-air retail fundamentals. "I think the public market is undervaluing it. I think the private market has figured it out."
He noted that sovereign wealth funds, pension funds, and other institutional investors have been active buyers, suggesting public market pricing still has room to catch up with private market values.