MAC - Macerich Announces Initial Progress in its Path Forward Strategic Plan | Benzinga
SANTA MONICA, Calif., May 16, 2024 (GLOBE NEWSWIRE) -- Macerich (NYSE:MAC), one of the nation's leading owners, operators and developers of major retail properties in top markets, today announced its purchase of the remaining 40% share of both Arrowhead Towne Center (Metro Phoenix) and South Plains Mall (Lubbock, Texas) for $36.5 million plus the debt, which for Arrowhead is a 7.2% cap rate, from its joint venture partner, a global institutional investor.
This transaction, which closed on May 14, gives Macerich full ownership of both properties.
Additionally, Macerich has executed a contract for the sale of an open-air asset in a major market. The transaction is expected to generate approximately $110,000 million of net proceeds based on an expected cap rate of 6.5% and is anticipated to close this summer.
"We are pleased to achieve full ownership of these highly attractive retail assets via the purchase of the remaining 40% share from our JV partner," said Jack Hsieh, President and Chief Executive Officer, Macerich. "Given the pending, massive microchip investment within the Arrowhead Towne Center market, we believe there are significant positive impacts to our trade area that we will soon be able to capitalize upon. With these transactions, Macerich is acting on its strategic plan that includes disposing of certain assets to reduce our leverage and simplifying our business through selectively consolidating certain JV interests over time."
Located in a high-growth area of Metro Phoenix, the 1.1 million-square-foot, super-regional ...