General Growth Properties, which is currently in defaults on numerous loans and is at the mercy of its lenders, has received bids of almost $400 million for mall properties including Faneuil Hall and South Street Seaport reports Bloomberg. Other mall real estate in the portfolio includes Harborplace & The Gallery in Baltimore. Allegedly, more than 10 bids for the shopped portfolio were received. Whether any of these was even close to covering the secured debt capitalizing them is not clear.
The buyer of Faneuil Hall and SS Seaport, who may be a private group, overseas purchaser and real-estate developer, is likely to be chosen over the next several weeks according to a person familiar with the sale.
In the meantime, Debtwire reports that bondholders of GGP's The Rouse Company subsidiary are holding a call at 2PM this afternoon to strategize, plot and scheme. Paul Weiss which is fighting tooth and nail to be retained as creditor counsel in any upcoming bankruptcy is scrambling to identify all bondholders of Rouse's $395 million 3.625% notes which mature on March 15, to whom it can send fruit baskets, so they in turn agree to pay PW's interns a rate of about $200/hour. As the Rouse notes were last seen trading around 34, bondholders are likely not in any mood to pay any advisor out of their rapidly declining potential recoveries but we have been wrong before.
Sphere: Related Content
Print this post