The definitive purchase agreement calls for Taubman to pay $22 million in cash and take on $66 million of debt that encumbers the property, which is anchored by JCPenney, Macy's and Sears. To cover the cash component, Taubman Centers says it will use part of the proceeds from the sale of La Cumbre Plaza and Paseo Nuevo, two shopping centers in Santa Barbara.The transaction bears a cap rate of 10.8%.

Sales per square foot at the center are about $400 per square foot. Sales have grown at an average annual compounded rate of 6.6% over the past five years.

"Last month Taubman Centers announced estimated Funds from Operations per share for 2002 would be at the lower end of its range of $1.65 to $1.70," says Robert S. Taubman, chairman, president and chief executive officer of Taubman Centers. "With these three transactions and assuming the results of operations of Paseo Nuevo and La Cumbre are included in Funds from Operations for the period owned in 2002, the company continues to anticipate this result."