3 Property Firms Buy Dutch Malls
NEW YORK (AP) _ Three property companies have agreed to pay $3.1 billion to purchase a Dutch company and its 35 shopping malls and other assets.
The Rouse Co., Simon Property Group Inc. and Australia’s largest property trust, Westfield America Trust, agreed Sunday to acquire Netherlands-based Rodamco North America NV.
In addition to the cash, the buyers are assuming $2.2 billion in Rodamco debt and other securities in the deal.
The transaction has been approved by the companies’ boards of directors, but is subject to shareholder and regulatory approvals. In a statement, the companies said the acquisition is expected to be completed by March.
Rodamco owns several shopping malls, including the Century City Shopping Center in Los Angeles, The Galleria in Houston, Copley Place in Boston, Garden State Plaza in suburban New Jersey, Oakbrook Center in Chicago and Perimeter Mall in Atlanta.
Westfield is paying $1.36 billion and is assuming $936 million of existing Rodamco debt and preferred stock. Westfield already owns 39 shopping centers in nine states.
Indianapolis-based Simon, which owns or has an interest in 252 worldwide properties, is paying $980 million and is assuming $570 million of existing Rodamco debt and preferred stock.
Columbia, Md.-based Rouse _ which operates more than 200 real estate properties in 21 states including Faneuil Hall Marketplace in Boston and Maryland’s Towson Town Center _ will pay $775 million and assume $675 million in debt.