CHATTANOOGA, Tenn.--(BUSINESS WIRE)--
CBL & Associates Properties, Inc. (NYSE: CBL) today announced that it
closed on a new 10/90 joint venture for Triangle Town Center and Commons
in Raleigh, NC, with DRA Advisors LLC (DRA). The new joint venture
acquired the property from the existing 50/50 joint venture between CBL
and The Richard E. Jacobs Group for a total consideration of $174.0
million, including assumption of a $171.1 million loan secured by the
property. CBL now holds a 10% ownership position in the asset and is
responsible for leasing and managing, earning customary fees.
Concurrent with the formation of the new joint venture, the new entity
closed on a modification and restructuring of the loan, which matured in
December 2015. The modified loan has an initial term of three-years
maturing in December 2018, with two one-year extension options available
to the joint venture, for a final maturity date of December 2020. The
interest was reduced from 5.737% to 4.0%, interest-only payments.
“We are pleased to enter into this new joint venture with a high-quality
institutional investor,” said Stephen Lebovitz, CBL’s President & CEO.
“With North Carolina’s only Sak’s Fifth Avenue and an excellent offering
of retail, dining and entertainment, Triangle Town Center is
well-positioned in the market. Along with our new partners, we are
excited about executing on the center’s strong growth opportunities and
elevating its position in the market. Additionally, the restructure of
the existing loan provides the venture with favorable borrowing terms
and the flexibility to move forward and unlock the center’s potential.”
Andrew Peltz, Managing Director of DRA, added: “We too are excited about
unlocking the potential of Triangle Town Center and are prepared to
invest fresh vision and capital to bring the asset to a new level. This
property is ideally situated to capitalize on the path of growth within
metropolitan Raleigh, and we look forward to working with CBL to
position Triangle Town Center as one of Raleigh’s dominant retail
destinations.”
About DRA Advisors LLC
DRA Advisors LLC (DRA) is a registered SEC investment advisor with $6.8
billion of assets under management, headquartered in New York with
offices in San Francisco and Miami. DRA has been in existence for 30
years with investors that include public and corporate pension funds,
endowments, foundations and financial institutions. As of December 31,
2015, DRA has invested in properties valued in excess of $23.5 billion.
Additional information on DRA Advisors LLC is available at www.draadvisors.com.
About CBL & Associates Properties, Inc.
Headquartered in Chattanooga, TN, CBL is one of the largest and most
active owners and developers of malls and shopping centers in the United
States. CBL owns, holds interests in or manages 147 properties,
including 91 regional malls/open-air centers. The properties are located
in 30 states and total 84.7 million square feet including 7.0 million
square feet of non-owned shopping centers managed for third parties.
Additional information can be found at cblproperties.com.
Forward-Looking Statements
Information included herein contains “forward-looking statements”
within the meaning of the federal securities laws.Such
statements are inherently subject to risks and uncertainties, many of
which cannot be predicted with accuracy and some of which might not even
be anticipated.Future events and actual events, financial and
otherwise, may differ materially from the events and results discussed
in the forward-looking statements.The reader is directed to the
Company’s various filings with the Securities and Exchange Commission,
including without limitation the Company’s Annual Report on Form 10-K
and the “Management’s Discussion and Analysis of Financial Condition and
Results of Operations” included therein, for a discussion of such risks
and uncertainties.
View source version on businesswire.com: http://www.businesswire.com/news/home/20160208006265/en/
CBL & Associates Properties, Inc.
Katie Reinsmidt, 423-490-8301
Senior
Vice President -
Investor Relations and Corporate Investments
katie.reinsmidt@cblproperties.com
Source: CBL & Associates Properties, Inc.