SACRAMENTO-Indiapolis-based Simon Property Group Inc. and Institutional Mall Investors, the co-investment venture owned by an affiliate of Miller Capital Advisory Inc. and Sacramento-based The California Public Employees' Retirement System have formed a joint venture to own and operate two malls. The malls include the Shops at Mission Viejo in the Los Angeles suburb of Mission Viejo, CA, and Woodfield Mall in the Chicago suburb of Schaumburg, IL.
Simon will own 51% of Mission Viejo and IMI will own the remaining 49%. Simon is providing management and leasing services to the joint venture.
The Shops at Mission Viejo is currently unencumbered, however, the joint venture expects to place a mortgage on the property in the next two weeks, according to a prepared statement. Woodfield Mall is encumbered by a $425-million mortgage loan which matures in March of 2024 and bears interest at 4.5%.
Prior to formation of the joint venture, Simon owned 100% of The Shops at Mission Viejo and IMI owned 100% of Woodfield Mall. The Shops at Mission Viejo is a 1.2 million square foot center anchored by Nordstrom and Macy's. Woodfield Mall is a 2.2 million square foot center anchored by Nordstrom, Macy's, Lord & Taylor, JCPenney and Sears.
David Simon, chairman and CEO of Simon Property Group, says that the Woodfield Mall is a “premier mall is located in one of the country's largest markets and we welcome the opportunity to enhance its productivity and value through our leasing and management efforts.”
According to Andrew Miller, president and CEO of Miller Capital Advisory, other malls owned jointly include the Galleria in Houston; the Fashion Centre at Pentagon City in Arlington, VA; and the Westchester in White Plains, NY.
The transaction also increases Miller Capital Advisory's presence in the important California market, according to Miller, “with the addition of The Shops at Mission Viejo to our collection of high quality retail properties.”
Continue Reading for Free
Register and gain access to:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
