9 June 2002
Forest City Enterprises Inc has bought a 724-unit residential community, The Landings of Brentwood in suburban Nashville, Tennessee, for $US40 million ($US55,000/unit) The Landings was built in 1987 and has units ranging from 1 to 3-beddies. The property includes 57ha of park-like landscaping, waterfalls & a lake, and features 2 swimming pools, 3 playgrounds, tennis/sand volleyball courts, a private park & a new fitness centre. Forest City’s residential group owns/manages more than 120 residential rental properties in 16 states and the District of Columbia, representing more than 35,000 units, including 6700 units of senior citizen housing that the company manages and in which it has a residual interest. Forest City is a $US4.5 billion company based in Cleveland, Ohio.
4 June 2002
Ohio-based retail investor Glimcher Realty Trust has completed the refinancing of its $US162 million construction loan on the 121,000mÂ² Jersey Gardens Mall in Elizabeth, New Jersey through 3 subsidiaries. The mall opened in October 1999. Glimcher’s new debt totals $US165 million at an effective rate of Libor plus 3.1%, or an initial rate of about 4.94%, and an initial June 2004 maturity on the 2 note issues. The $US135 million nonrecourse senior note is at Libor plus 1.97% (an initial 3.81%) and the $US30 million nonrecourse subordinated note is at Libor pls 8.19% (an initial 10.03%).
CBL & Associates Properties Inc of Chattanooga, Tennessee, has bought the 56,362mÂ² Panama City Mall (in Florida) for $US46.5 million, paid with $US5.3 million of stock with an 8% dividend yield, $US40.7 million of assumed debt and some cash. The mall sits on 21.9ha, has 13% vacancy and had specialty sales of $US280/ftÂ² last year. Its nearest competitor is 100km away, it has a 260,000 catchment plus 4 million tourists/year and has an adjoining 4ha for expansion. CBL owns 160 properties, including 54 enclosed malls, and has 8 projects under construction.