Taubman Completes Sale of Interest in Starfield Hanam to Blackstone
19 September 2019 - 10:54PM
Business Wire
Taubman Centers, Inc. (NYSE: TCO) today announced the completion
of the sale of 50 percent of Taubman Asia’s interest in Starfield
Hanam (Hanam, South Korea) to real estate funds managed by The
Blackstone Group Inc. (Blackstone) for $300 million.
Net proceeds to Taubman are expected to be approximately $240
million following the allocation of property-level debt and
transaction costs. Following the sale, Taubman will own a 17.15
percent beneficial interest in the shopping center.
This sale is consistent with Taubman’s announcement to sell 50
percent of its three Asia-based shopping centers to Blackstone,
with closings expected throughout 2019. See Taubman to Sell 50
Percent of its Interests in its Three Asia Shopping Centers to
Blackstone – February 14, 2019.
“We’re pleased to have made substantial progress on this
important transaction, while adding Blackstone as a strategic
partner,” said Robert S. Taubman, chairman, president and chief
executive officer of Taubman Centers. “We continue to work toward
closing the two remaining deals over the coming months.”
About Starfield Hanam
Starfield Hanam, located in scenic Hanam, South Korea just east
of Seoul, is the largest western-style shopping center in the
country at nearly 1.7 million square feet. Anchored by Shinsegae
department store, the center offers approximately 300 stores,
restaurants, and a variety of sports and entertainment venues.
Conveniently connected to the Misa road, which is linked to the
Greater Seoul freeway network, Starfield offers approximately 6,200
parking spaces and access to bus transportation routes.
About Taubman
Taubman Centers is an S&P MidCap 400 Real Estate Investment
Trust engaged in the ownership, management and/or leasing of 26
regional, super-regional and outlet shopping centers in the U.S.
and Asia. Taubman’s U.S.-owned properties are the most productive
in the publicly held U.S. regional mall industry. Founded in 1950,
Taubman is headquartered in Bloomfield Hills, Mich. Taubman Asia,
founded in 2005, is headquartered in Hong Kong.
www.taubman.com.
For ease of use, references in this press release to “Taubman
Centers,”, “we”, “us”, “our”, “company,” “Taubman” or an operating
platform mean Taubman Centers, Inc. and/or one or more of a number
of separate, affiliated entities. Business is actually conducted by
an affiliated entity rather than Taubman Centers, Inc. itself or
the named operating platform.
This press release may contain forward-looking statements within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. These statements reflect management's current views with
respect to future events and financial performance. Forward-looking
statements can be identified by words such as “will”, “may”,
“could”, “expect”, “anticipate”, “believes”, “intends”, “should”,
“plans”, “estimates”, “approximate”, “guidance” and similar
expressions in this press release that predict or indicate future
events and trends and that do not report historical matters. The
forward-looking statements included in this release are made as of
the date hereof. Except as required by law, the company assumes no
obligation to update these forward-looking statements, even if new
information becomes available in the future. Actual results may
differ materially from those expected because of various risks and
uncertainties, including that the conditions to one or more
transaction closings may not be satisfied, the occurrence of any
event, change or other circumstances that could give rise to the
delay or termination of the transactions, general economic
conditions, and other factors. Such factors include, but are not
limited to: changes in market rental rates; unscheduled closings or
bankruptcies of tenants; relationships with anchor tenants; trends
in the retail industry; challenges with department stores; changes
in consumer shopping behavior; the liquidity of real estate
investments; the company’s ability to comply with debt covenants;
the availability and terms of financings; changes in market rates
of interest and foreign exchange rates for foreign currencies;
changes in value of investments in foreign entities; the ability to
hedge interest rate and currency risk; risks related to acquiring,
developing, expanding, leasing and managing properties; competitors
gaining economies of scale through M&A and consolidation
activity; changes in value of investments in foreign entities;
risks related to joint venture properties; insurance costs and
coverage; security breaches that could impact the company’s
information technology, infrastructure or personal data; costs
associated with response to technology breaches; the loss of key
management personnel; shareholder activism costs and related
diversion of management time; terrorist activities; maintaining the
company’s status as a real estate investment trust; changes in the
laws of states, localities, and foreign jurisdictions that may
increase taxes on the company’s operations; and changes in global,
national, regional and/or local economic and geopolitical
climates.
You should review the company's filings with the Securities and
Exchange Commission, including “Risk Factors” in its most recent
Annual Report on Form 10-K and subsequent quarterly reports, for a
discussion of such risks and uncertainties.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20190919005444/en/
Erik Wright, Taubman, Manager, Investor Relations, 248-258-7390
ewright@taubman.com Maria Mainville, Taubman, Director, Strategic
Communications, 248-258-7469 mmainville@taubman.com
Taubman Centers (NYSE:TCO)
Historical Stock Chart
From Apr 2024 to May 2024
Taubman Centers (NYSE:TCO)
Historical Stock Chart
From May 2023 to May 2024