BLOOMINGTON, MN-The Mall of America officially changed hands, as Triple Five Corp. completed its court-ordered purchase of a 27.5% interest in the huge shopping and entertainment complex from Simon Property Group. The stake gives Triple Five, based in Edmonton, a controlling interest in the mall.

The closing took place shortly after Simon’s motion to stay the transfer to Triple Five was denied both by the Federal District Court and the Federal Appellate Court. Simon reiterated its disagreement with the court’s opinion and its order forcing the sale of Simon’s partnership interest in Mall of America. The retail group has appealed the order to the Eighth Circuit Court of Appeals and says in a statement that it “will continue to vigorously pursue that process.”

Nader Ghermezian, the head of Triple Five, is making plans for how his firm will realize its “original vision for the Mall of America to make it the Eighth Wonder of the World.” Triple Five came up with the concept for Mall of America and he says planning is under way to expand other mixed-use components to more than double its size to more than nine million sf.

Although the judge’s order replaces Simon with Triple Five as managing general partner of the mall, Simon will continue to manage Mall of America through its subsidiary management company under the terms of its existing contract. Indianapolis-based Simon, the largest mall operator in the US, has not recorded a contribution to net income and funds from operations for Mall of America since the court’s decision in September 2003, and will not recognize an additional gain or loss from the forced sale.

Simon owns or has an interest in 246 retail properties in North America containing 192 million sf in 37 states plus Canada and Puerto Rico. Triple Five is a real estate development company with a focus on mixed-use developments.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


NOT FOR REPRINT

© 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.

Dig Deeper

 

GlobeSt Net Lease Spring 2024Event

This conference brings together the industry's most influential & knowledgeable real estate executives from the net lease sector.

Get More Information
 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.