Simon Will Spin Off Smaller Centers Into REIT

INDIANAPOLIS-The new company will have “a strong Simon heritage and all of the requisite tools to grow its business and succeed,” says David Simon.

By Paul Bubny | Updated on December 13, 2013

INDIANAPOLIS-Simon Property Group, the nation’s largest mall operator, said Friday it would spin off its strip center business and smaller enclosed malls into SpinCo, an independent, publicly traded REIT. The new company will have an independent, dedicated management team, although it will maintain continued relationships with Simon.

Simon, which went public 20 years ago today, will focus on its larger malls, mills and outlet centers. “We believe we are creating a new company that has both a strong Simon heritage and all of the requisite tools to grow its business and succeed,” says David Simon, chairman and CEO of Simon. “At the same time, this transaction allows Simon to focus on our global portfolio of larger malls, Mills and Premium Outlets while maintaining our considerable scale and conservative leverage profile.”

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? Sign In Now

NOT FOR REPRINT

© 2023 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

Recommended Stories

A New Source for Net Lease Construction Financing Enters the Market

Erik Sherman | December 05, 2023

The JV launches at a time when capital is scarce.

Jobs Numbers Offer Some Optimism on a Soft Landing

Erik Sherman | December 08, 2023

It might be that the economy can avoid a recession. But will inflation continue to cooperate? And will the Fed wait to lower interest rates?

FDIC Increasingly Concerned About CRE Loans That are Falling Behind

Erik Sherman | December 04, 2023

Loan growth continued in Q3, but slower than in Q2. And other activities all put pressure on banks to rein in risk.

Resource Center

HVAC use accounts for 50% of the total energy consumption of your commercial office buildings. Why wouldn’t you optimize its efficiency? Download this white paper and learn how you can slash costs, enhance tenant satisfaction, and boost sustainability.

Report

Sponsored by Building Engines

The ROI of HVAC Optimization in Commercial Office Buildings

HVAC use accounts for 50% of the total energy consumption of your commercial office buildings. Why wouldn’t you optimize its efficiency? Download this white paper and learn how you can slash costs, enhance tenant satisfaction, and boost sustainability.

Browse More Resources ›

This white paper delves into the alarming surge in renter fraud within the multifamily housing sector. Discover the various drivers behind these trends and how you can stay ahead of the evolving fraud landscape.

White Paper

Sponsored by TheGuarantors

Addressing the Surge of Renter Fraud in Multifamily Housing

This white paper delves into the alarming surge in renter fraud within the multifamily housing sector. Discover the various drivers behind these trends and how you can stay ahead of the evolving fraud landscape.

Browse More Resources ›

What are your goals as an asset or property manager? This interactive tour walks you through customizing your own platform to help meet your goals such as maximizing revenue, optimizing operations, adding value to your properties, and attracting the right tenants.

Interactive Resource Center

Sponsored by Building Engines

How Prism helps CRE Managers Exceed Goals

What are your goals as an asset or property manager? This interactive tour walks you through customizing your own platform to help meet your goals such as maximizing revenue, optimizing operations, adding value to your properties, and attracting the right tenants.

Browse More Resources ›

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

Copyright © 2023 ALM Global, LLC. All Rights Reserved.