Simon buys mall rival taubman in multi-billion dollar deal

by MR Magazine Staff

Simon Property Group, the biggest U.S. mall operator, on Monday agreed to buy rival Taubman Centers in a deal valued at $3.6 billion.

Simon Property Group said it would buy an 80 percent stake in Taubman Realty Group (TRG) Limited Partnership, the entity through which Taubman Centers conducts its business. The Taubman family will sell about a third of its interest in TRG and remain a 20 percent partner in the firm, the companies said.

Taubman owns or leases 26 regional shopping centers in the United States and Asia including Beverly Center in Los Angeles and Short Hills mall in New Jersey, while Simon has stakes in more than 220 malls and other retail properties in the United States and international markets.

“We are very pleased to announce this transaction, which will be immediately accretive to Simon’s FFO,” said David Simon, president, CEO, and chairman of Simon. “By joining together, we will enhance the ability of TRG to invest in innovative retail environments that create exciting shopping and entertainment experiences for consumers, immersive opportunities for retailers, and substantial new job prospects for local communities. I look forward to partnering with Bobby and the TRG executive team in this exciting new joint venture.”

“Since Taubman Centers’ founding 70 years ago, we have built a portfolio of high-quality assets and continuously adapted to the evolving retail landscape,” added Robert S. Taubman, chairman, president, and chief executive officer of Taubman. “I am proud of all that this company’s talented employees have achieved and I am thrilled to have the opportunity to join together with Simon through this joint venture. Over the last few years, David and I have developed an excellent personal relationship and importantly, Simon shares our commitment to serving retailers, shoppers and the communities in which we operate. The Board and I are confident that Simon is the ideal partner to help us build on our progress.”

One Reply to “SIMON BUYS MALL RIVAL TAUBMAN IN MULTI-BILLION DOLLAR DEAL”

  1. Good fortune to you good gentlemen. Your excellent companies will benefit immeasurably in this joinder.
    I do so miss working with your organizations during my tenures at Carter,Hawley,Hale…Panda Mngmt & Melville days.

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