OAK BROOK, IL—Retail Properties of America Inc.said Monday afternoon that it was buying out its joint-venturepartner, a state pension fund, in a portfolio of sixshopping center properties totaling 1.2 millionsquare feet. The JV's value is $292.5 million, with the JVpartner's 80% interest valued at $234 million. The deal is expectedto close in June.

Steve Grimes, RPAI's president and CEO, saysthe deal “will enhance our presence in our target markets with highquality multi-tenant retail assets demonstrating strong demographicprofiles and long-term growth potential. Additionally, thistransaction further simplifies our balance sheet, as we will haveno remaining investment property unconsolidated jointventures.”

The JV has been on RPAI's books as the MS Inland Fund since2007, when the company was still known as Inland WesternRetail Real Estate Trust, a name it shed in 2012. Inbuying out its partner's interest in the portfolio, RPAI willassume the JV's $142.2 million of in-place mortgage financing at aweighted average interest rate of 4.79%.