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Friday, 03 February 2012

Macerich, Simon Swap Stakes in 13 Retail Properties

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Commercial Real Estate Direct Staff Report

Simon Property Group and Macerich Co. have swapped stakes in 11 malls and two shopping centers, with more than 9 million square feet, that they had owned 50-50.

The deal gave Macerich full ownership of six of the malls and one center, while Simon obtained full ownership of the other properties.

Macerich now fully owns the following malls: the SouthPark in Moline, Ill.; SouthRidge in Des Moines, Iowa; NorthPark in Davenport, Iowa, and the Eastland in Evansville, Ind. Each of those properties has 1 million sf.

It also owns the 506,260-sf Valley Mall in Harrisonburg, Va., Lake Square, with 560,324 sf in Leesburg, Fla., and the Eastland Convenience shopping center in Evansville.

Simon took full ownership of the following malls: Empire, with 1 million sf in Sioux Falls; S.D.; the 691,845-sf Lindale in Cedar Rapids, Iowa; the 850,370-sf Mesa in Grand Junction, Colo.; Rushmore, with 737,725 sf in Rapid City, S.D., the 573,370-sf Southern Hills in Sioux City, Idaho, and the 297,278-sf Empire East, also in Sioux Falls.

The Macerich-Simon venture acquired the 11 malls in the swap, along with the Granite Run Mall in Media, Pa., in 1997 for $974.5 million, which included $475 million of assumed debt. But the Granite Run Mall became delinquent on the $115 million of debt it backed and was transferred to the CMBS trust, COMM, 2006-C7, that held it.

Six of the malls in the venture partners' recent swap back a combined $719.85 million of debt that is securitized through the following CMBS trusts, Banc of America Commercial Mortgage Trust, 2006-2, 3, 4 and 6. The debt consists of seven loans that mature in 2016.

The Valley Mall backs a $43.9 million loan with a 5.834 percent coupon that is securitized though the BACM 2006-2. The other seven loans have coupons of 5.794 percent.

All of the debt is current, according to servicer data compiled by Morningstar.

Comments? E-mail John Covaleski or call him at (267) 247-0112, Ext. 208.



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Additional Info

  • Syndicate to Realpoint: No
  • Sector: Retail
  • Subject: Property Acquisitions (ACQ)
  • Company: Sonnenblick-Eichner Co.
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Data Digest

 

CMBS DELINQUENCY VOLUME

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CMBS SPECIAL SERVICING VOLUME

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Top Bookrunners Domestic, Private-Label CMBS - 2017
Investment Bank #Deals Vol$mln MktShr%
Goldman Sachs 17.59 11,819.34 13.68
JPMorgan Securities 14.52 10,968.11 12.70
Citigroup 12.04 10,012.71 11.59
Wells Fargo Securities 14.02 9,936.06 11.50
Deutsche Bank 12.55 9,879.74 11.44

 

RCA CPPI

 

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CMBS 2.0 Spreads

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Top CMBS Loan Contributors - 2017
Lender #Loans Vol$mln MktShr%
Goldman Sachs 146.89 11,719.34 13.63
JPMorgan Chase Bank 117.68 10,114.14 11.76
Deutsche Bank 198.48 9,689.97 11.27
Morgan Stanley 166.18 8,539.78 9.93
Citigroup 199.05 8,088.24 9.41

 

 

 

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