Macerich Announces Completion of $2.333 Billion Acquisition of
Wilmorite SANTA MONICA, Calif., April 25 /PRNewswire-FirstCall/ --
The Macerich Partnership L.P., the operating partnership of The
Macerich Company (NYSE:MAC), today announced that it has completed
its acquisition of Wilmorite Properties, Inc. and Wilmorite
Holdings L.P. ("Wilmorite"). The total purchase price was
approximately $2.333 billion, including the assumption of
approximately $879 million of existing debt at an average interest
rate of 6.43% and the issuance of convertible preferred units of
$234 million and common units totaling $5.8 million. The
convertible preferred units have a liquidation preference of $62.39
per unit, a conversion price of $74.87 per unit and an initial
dividend yield of approximately 5.75% of the liquidation
preference. Approximately $213 million of the convertible preferred
units can be redeemed, subject to certain conditions, for that
portion of the Wilmorite portfolio generally located in the greater
Rochester area. The balance of the consideration to Wilmorite's
equity holders was paid in cash which was provided primarily by a
five year, $450 million term loan bearing interest at LIBOR plus
1.50% and a $650 million acquisition loan with a term of up to two
years and bearing interest at LIBOR plus 1.60%. Wilmorite's
portfolio includes interests in 11 regional malls and two open-air
community centers, with 13.4 million square feet of space located
in Connecticut, New York, New Jersey, Kentucky and Virginia.
Approximately 5 million square feet of gross leaseable area is
located at three premier regional malls: Tysons Corner Center in
McLean, Virginia, Freehold Raceway Mall in Freehold, New Jersey and
Danbury Fair Mall in Danbury, Connecticut. The average tenant sales
per square foot for these three centers, is in excess of $539. The
total portfolio average of mall store annual sales per square foot
is $392. The addition of Tysons Corner Center, Freehold Raceway
Mall and Danbury Fair Mall combined with the recently expanded
Queens Center gives Macerich four premier super-regional malls in
the East with combined total annual retail sales in excess of $2
billion. Deutsche Bank Securities, Inc. acted as financial advisor
and O'Melveny & Myers LLP acted as legal counsel to Macerich on
the transaction. Morgan Stanley acted as financial advisor and
Goodwin Procter LLP and Harris Beach LLP acted as counsel to
Wilmorite on this transaction. The Macerich Company is a fully
integrated self-managed and self- administered real estate
investment trust, which focuses on the acquisition, leasing,
management, development and redevelopment of regional malls
throughout the United States. The Company is the sole general
partner and owns an 81% ownership interest in The Macerich
Partnership, L.P. Macerich now owns approximately 76 million square
feet of gross leaseable area consisting primarily of interests in
75 regional malls. Additional information about The Macerich
Company can be obtained from the Company's web site at
http://www.macerich.com/. Note: This release contains statements
that constitute forward-looking statements. Stockholders are
cautioned that any such forward-looking statements are not
guarantees of future performance and involve risks, uncertainties
and other factors that may cause actual results, performance or
achievements of the Company to vary materially from those
anticipated, expected or projected. Such factors include, among
others, general industry, economic and business conditions, which
will, among other things, affect demand for retail space or retail
goods, availability and creditworthiness of current and prospective
tenants, anchor or tenant bankruptcies, closures, mergers or
consolidations, lease rates and terms, interest rate fluctuations,
availability and cost of financing and operating expenses; adverse
changes in the real estate markets including, among other things,
competition from other companies, retail formats and technology,
risks of real estate development and redevelopment, acquisitions
and dispositions; governmental actions and initiatives (including
legislative and regulatory changes); environmental and safety
requirements; and terrorist activities which could adversely affect
all of the above factors. The reader is directed to the Company's
various filings with the Securities and Exchange Commission, for a
discussion of such risks and uncertainties. Location Ownership
Total Non-Anchor GLA (1) GLA (1) Premier Asset Group Tysons Corner
Center McLean, VA 50% 2,016,940 1,080,383 Danbury Fair Mall
Danbury, CT 100% 1,274,861 504,583 Freehold Raceway Mall Freehold,
NJ 100% 1,590,554 796,133 Tysons Corner Office McLean, VA 50%
170,473 170,473 5,052,828 2,551,572 Upstate New York Group Great
Northern Mall Clay, NY 100% 899,221 569,233 Rotterdam Square
Schenectady, NY 100% 593,050 283,275 Shoppingtown Mall Dewitt, NY
100% 1,051,230 568,530 Towne Mall Elizabethtown, KY 100% 352,888
182,016 Wilton Mall at Saratoga Saratoga Springs, NY 100% 700,753
496,875 3,597,142 2,099,929 Rochester Group Eastview Commons
Victor, NY 100% 343,472 87,969 Eastview Mall Victor, NY 100%
1,343,519 701,940 Greece Ridge Center Greece, NY 100% 1,464,121
833,996 Marketplace Mall Henrietta, NY 37.5% 1,019,217 504,625
Pittsford Plaza Pittsford, NY 63.6% 513,389 426,939 4,683,718
2,555,469 Total Portfolio 13,333,688 7,206,970 Occupancy Major
Tenants Premier Asset Group Tysons Corner Center 96% Bloomingdales,
Hecht's, Nordstrom, Lord & Taylor, LL Bean Danbury Fair Mall
95% Macy's, Filenes, Sears, JC Penney, Lord & Taylor Freehold
Raceway Mall 96% Macy's, Nordstrom, JC Penney, Sears, Lord &
Taylor Tysons Corner Office 100% 96% Upstate New York Group Great
Northern Mall 96% Sears, Bon Ton, Kaufmann's, Dick's Rotterdam
Square 89% Filenes, Sears, Kmart Shoppingtown Mall 95% Sears, JC
Penney, Kaufmann's, Bon Ton, Dick's Towne Mall 93% Sears,
Proffitts, JC Penney, Dawahares Wilton Mall at Saratoga 97% Sears,
Bon Ton, Dick's, JC Penney 95% Rochester Group Eastview Commons
100% Home Depot, Target, Linens & Things, Old Navy, Staples
Eastview Mall 98% Kaufmann's, JC Penney, Bon Ton, Sears, Lord &
Taylor Greece Ridge Center 98% JC Penney, Kaufmann's & Home,
Bon Ton, Sears, Burlington Coat, Dick's, Regal Cinema Marketplace
Mall 90% JC Penney, Sears, Kaufmann's, Bon Ton, Dick's Pittsford
Plaza 93% Chase Pitkin Home & Garden, Cohoes, Barnes &
Noble, Bed Bath & Beyond, TJ Maxx, Michaels, Pittsford Cinemas
96% Total Portfolio 96% (1) Tysons GLA after redevelopment
DATASOURCE: The Macerich Company CONTACT: Press, Arthur Coppola,
President and Chief Executive Officer or Thomas O'Hern, Executive
Vice President and Chief Financial Officer, +1-310-394-6000, or
Edward Coppola, Senior Executive Vice President, +1-972-385-9858,
all of The Macerich Company Web site: http://www.macerich.com/
Copyright
Macerich (NYSE:MAC)
Historical Stock Chart
From Jun 2024 to Jul 2024
Macerich (NYSE:MAC)
Historical Stock Chart
From Jul 2023 to Jul 2024