General Growth Zeros in on Property Development

CHICAGO-General Growth Properties is focusing on the development of new centers as opposed to acquisitions and will open three significant assets this year as well as one major redevelopment. “Coming off an era of growth by acquisition, we are now in a period of organic growth,” said John Bucksbaum, the REIT’s CEO, during its first-quarter conference call.

New centers opening this year, all in September, are Gateway Overlook, in Benson, MD; Park West, in Peoria, AZ; and the Shops at Fallen Timbers, in Maumee, OH. Executives expect to complete the redevelopment of Natick (MA) Mall as well.

Even with the new product coming on line, it is challenging for the firm to keep up with the constant expansion of retail chains, Bucksbaum says. During the quarter, which ended March 31, the company signed a record number of 367 new stores in its portfolio, totaling 1.9 million sf.