CHICAGO, April 30 /PRNewswire-FirstCall/ --
General Growth Properties (NYSE: GGP) today announced the acquisition of
100% of Peachtree Mall in Columbus, Georgia from an institutional owner.
"Peachtree Mall is the dominant retail destination within a 100 mile trade
area, located south of Atlanta. We look forward to enhancing the center's
already solid performance," said John Bucksbaum, chief executive officer of
General Growth. "Peachtree is the seventh mall GGP either owns or manages in
the state of Georgia and is a valuable addition to our existing portfolio."
The acquisition price of $87.6 million was funded with a 5-year
$53 million mortgage loan bearing interest at LIBOR plus 85 basis points and
$34.6 million from a combination of cash on hand plus available credit. The
property is expected to generate approximately $7.9 million of net operating
income over the next 12 months.
Peachtree opened in 1975 and was renovated and expanded in 1985 and 1993.
The center is just over 800,000 square foot and is anchored by Rich's-Macy's,
Dillards, Parisian, and JCPenney. The property also includes an eight-screen
Carmike Theater and a 12,600 square foot convenience center. In-line
specialty retail space comprises approximately 265,000 square feet. The
center is currently 92% occupied with sales of approximately $340 per square
foot.
General Growth Properties is the country's second largest shopping center
owner, developer and manager of regional shopping malls. General Growth
currently has ownership interests in, or management responsibility for, a
portfolio of 159 regional shopping malls in 39 states. The company portfolio
totals approximately 140 million square feet of retail space and includes over
16,000 retailers nationwide. A publicly traded Real Estate Investment Trust
(REIT), General Growth Properties is listed on the New York Stock Exchange
under the symbol GGP. For more information on General Growth Properties and
its portfolio of malls, please visit the company web site at
http://www.generalgrowth.com .
This release may contain forward-looking statements that involve risks and
uncertainties. All statements other than statements of historical fact are
statements that may be deemed forward-looking statements, which are subject to
a number of risks, uncertainties and assumptions. Representative examples of
these risks, uncertainties and assumptions include (without limitation)
general industry and economic conditions, interest rate trends, cost of
capital and capital requirements, availability of real estate properties,
competition from other companies and venues for the sale/distribution of goods
and services, changes in retail rental rates in the company's markets, shifts
in customer demands, tenant bankruptcies or store closures, changes in vacancy
rates at the company's properties, changes in operating expenses, including
employee wages, benefits and training, governmental and public policy changes
in applicable laws, rules and regulations (including changes in tax laws), the
ability to obtain suitable equity and/or debt financing, and the continued
availability of financing in the amounts and on the terms necessary to support
the company's future business. Readers are referred to the documents filed
with the SEC, specifically the most recent reports on Forms 10-K and 10-Q,
which identify important risk factors which could cause actual results to
differ from those contained in the forward-looking statements.
SOURCE General Growth Properties
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Related links:
http://www.generalgrowth.com
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AP Archive: http://photoarchive.ap.org PR Newswire Photo
Desk, +1-888-776-6555 or +1-212-782-2840
Company News On-Call:
http://www.prnewswire.com/comp/110740.html
CONTACT:
John Bucksbaum, +1-312-960-5005, or Bernie
Freibaum, +1-312-960-5252, both of General Growth Properties
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