The Blackstone Group has closed a $320 million deal to buy a 60 percent stake in two regional shopping centres from retail REIT Glimcher Realty Trust.
Blackstone will acquire a majority stake in the Lloyd Center in Portland, Oregon and WestShore Plaza in Tampa, Florida, with Glimcher, a Columbus, Ohio-based real estate investment trust, retaining a 40 percent interest
The gross value for the combined transaction is approximately $320 million, including the assumption of $218 million in mortgage loans currently secured against the properties, Glimcher said in a statement.
The deal made Glimcher about $60 million in profit, after debt assumption fees and ordinary closing costs. Glimcher will use the proceeds to cut its debt load, the REIT added.
A Glimcher spokesman stated that The Lloyd Center is valued at $348 per square foot., while the WestShore Plaza fetches $370 per square foot.
Glimcher chairman Michael Glimcher said the deal with Blackstone was part of the company’s goal of raising additional capital while positioning its mall platform for “future potential growth”.