JV Will Own and Operate The Shops at Mission Viejo in Suburban Los Angeles and Woodfield Mall in Suburban Chicago
Simon Property Group, Inc. (NYSE: SPG
), the world's biggest shopping mall owner and manager, will partner with the California Public Employees Retirement System (CalPERS) to jointly own a pair of dominant regional malls located in Los Angeles and Chicago.
The joint venture will own and operate The Shops at Mission Viejo in the Los Angeles suburb of Mission Viejo, and Woodfield Mall in the Chicago suburb of Schaumburg, IL. CalPERS' stake in the malls will be held by Institutional Mall Investors (IMI), its co-investment venture with an affiliate of Miller Capital Advisory, Inc.
Simon, which is providing management and leasing services to the joint venture, will own 50 percent of the Woodfield Mall and 51 percent of Mission Viejo.
Before forming the joint venture, Simon owned 100 percent of The Shops at Mission Viejo, a 1.2 million-square-foot center anchored by Nordstrom and Macy's, and IMI owned 100 percent of Woodfield Mall, a 2.2 million-square-foot retail complex anchored by Nordstrom, Macy's, Lord & Taylor, JCPenney and Sears.
Other malls owned jointly by Simon and IMI include The Galleria in Houston, The Fashion Centre at Pentagon City in Arlington, VA, and The Westchester in White Plains, NY.