General Growth Properties and Canada Pension Plan Investment Board (CPPIB) have formed a venture partnership to buy Plaza Frontenac. As a part of the deal, CPPIB will also make an investment in Saint Louis Galleria owned by GGP. The venture partnership will jointly manage the two St. Louis metropolitan area located malls.
As per the terms of the venture partnership, CPPIB will own 45% stake in Plaza Frontenac and GGP will own the rest of the 55%. The acquirement of Plaza Frontenac with 482,000 sq ft rentable area having a market value of over $500 per sq ft symbolizes a brand asset for the venture. The mall is one among the nine malls globally to have Neiman Marcus and Saks Fifth Avenue under one roof. When the acquisition is completed, GGP will possess and operate the functions of three of the total nine properties.
Plaza Frontenac is located in the center of St. Louis’ wealthy populated area and it hosts nine restaurants, which include the names such as Fleming’s Steakhouse and Brio Tuscan. The mall hosts some of the exclusive retailers such as L’Occitane, Kate Spade, Juicy Couture, BCBG Max Azria, Sur La Table, Cole Haan, Louis Vuitton, and Tiffany & Co.
CPPIB has acquired 26% interest in the St Louis Galleria, a regional mall with a gross rentable area of over one million sq ft with in-line sales value of over $585 per sq ft. The mall, which is slated to open in September 2011 has Nordstrom, Dillard, Macy under its roof.
Source: http://www.cppib.ca/