LAS VEGAS, April 15, 2016 /PRNewswire/ -- CityCenter
Holdings, LLC ("CityCenter"), a venture between MGM Resorts
International (NYSE: MGM) and Infinity World Development Corp,
closed the previously announced sale of The Shops at Crystals for
approximately $1.1 billion to a
venture led by Invesco Real Estate and Simon Property Group (NYSE:
SPG).
The CityCenter Board of Directors approved a $1.08 billion dividend consisting of a
$990 million special dividend in
connection with the sale and a $90
million dividend as part of its annual dividend
policy. The $1.08 billion
dividend will be paid in the second quarter.
"CityCenter has exhibited significant operating growth and
continued balance sheet enhancement since opening," said
Jim Murren, Chairman and Chief
Executive Officer of MGM Resorts International. "As a result of its
strong financial position and the successful sale of The Shops at
Crystals, CityCenter will return $540
million each to MGM Resorts and Infinity World this
quarter."
"This transaction showcases Las
Vegas as a premier retail and entertainment destination in a
growing marketplace," said Bill
Grounds, President and COO of Infinity World Development
Corp. "We wish Invesco Real Estate and Simon Property Group much
success and look forward to their presence as a first-class luxury
retail asset owner on the Las Vegas Strip."
During the quarter ended March 31,
2016, CityCenter used cash on hand to repay $266 million of its term loan B facility. As of
March 31, 2016, CityCenter had
approximately $1.24 billion of total
debt outstanding.
About CityCenter
CityCenter, which is 50% owned by a
wholly owned subsidiary of MGM Resorts International and 50% owned
by Infinity World Development Corp (a wholly owned subsidiary of
Dubai World), is an urban mixed-use development on the Las Vegas
Strip that includes ARIA Resort & Casino, a 4,004-room casino
resort; Mandarin Oriental Las Vegas, a 392-room non-gaming boutique
hotel with 225 luxury condominium residences; Vdara Hotel and Spa,
a 1,495-room luxury hotel-condominium; and the Veer Towers, which
contain 669 luxury condominium residences. CityCenter opened
in December 2009.
About Invesco
Invesco Real Estate is
a global leader in the real estate investment management business
with over $64.0 billion under management, 434 employees
and 21 regional offices across Asia, Europe and the US.
It was established in 1983 and has been actively investing in core,
value-add and opportunistic real estate strategies since
1992. Invesco Real Estate is an investment center
of Invesco Advisers, Inc., which is an indirect, wholly owned
subsidiary of Invesco Ltd., (NYSE: IVZ), one of the largest
investment management firms in the world with $775.6
billion in assets under management and on-the-ground presence
in 25 cities worldwide. Information as of December 31,
2015.
About Simon
Simon is a global leader in retail real estate ownership,
management and development and an S&P100 company (Simon
Property Group, NYSE:SPG). Our industry-leading retail
properties and investments across North
America, Europe and
Asia provide shopping experiences
for millions of consumers every day and generate billions in annual
retail sales. For more information, visit simon.com.
Statements in this release that are not historical facts are
forward-looking statements, within the meaning of the Private
Securities Litigation Reform Act of 1995 and involve risks and/or
uncertainties. Forward-looking statements are based on
management's current expectations and assumptions and not on
historical facts. Examples of these statements include, but are not
limited to, statements regarding the timing and payment of
dividends to its shareholders. Among the important factors that
could cause actual results to differ materially from those
indicated in such forward-looking statements include effects of
economic conditions and market conditions in the markets in which
the companies operate and competition with other destination travel
locations throughout the United
States and the world, the design, timing and costs of
expansion projects, risks relating to international operations,
permits, licenses, financings, approvals and other contingencies in
connection with growth in new or existing jurisdictions.
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SOURCE MGM Resorts International