CBL & Associates Properties, Inc. (NYSE: CBL) today announced that it has closed on the sale of three malls and three related associated centers in a portfolio transaction for a gross sales price of $176 million in cash. The properties included in the portfolio were Georgia Square Mall and Georgia Square Plaza in Athens, GA; Panama City Mall and The Shoppes at Panama City in Panama City, FL; and Rivergate Mall and Village at Rivergate in Nashville, TN. The properties were purchased by an offshore investor with an Atlanta-based partner, Hendon Properties, who will also lease and manage the malls.
“We are pleased to complete the disposition of these assets, generating substantial equity and demonstrating our continued ability to effectively execute our capital plan,” said Stephen Lebovitz, president & chief executive officer of CBL. “When combined with the $209 million in ATM proceeds generated through mid-year as well as $44 million from the sale of office buildings completed earlier this year, we have raised more than $425 million in equity year-to-date. This deliberate approach has allowed us to significantly reduce debt while minimizing dilution and strengthening our core portfolio.”
Net proceeds from the disposition were used to reduce outstanding balances on the Company’s unsecured lines of credit. The Company anticipates a net impact of approximately $0.02 per share to 2013 Funds from Operations (“FFO”) from the sale of the properties. Margaret Caldwell and Kris Cooper of Jones Lang LaSalle represented CBL in the transaction.
About CBL & Associates Properties, Inc.CBL is one of the largest and most active owners and developers of malls and shopping centers in the United States. CBL owns, holds interests in or manages 154 properties, including 93 regional malls/open-air centers. The properties are located in 31 states and total 89.3 million square feet including 9.3 million square feet of non-owned shopping centers managed for third parties. Headquartered in Chattanooga, TN, CBL has regional offices in Boston (Waltham), MA, Dallas (Irving), TX, and St. Louis, MO. Additional information can be found at cblproperties.com. Information included herein contains “forward-looking statements” within the meaning of the federal securities laws. Such statements are inherently subject to risks and uncertainties, many of which cannot be predicted with accuracy and some of which might not even be anticipated. Future events and actual events, financial and otherwise, may differ materially from the events and results discussed in the forward-looking statements. The reader is directed to the Company’s various filings with the Securities and Exchange Commission, including without limitation the Company’s Annual Report on Form 10-K and the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” incorporated by reference therein, for a discussion of such risks and uncertainties.