US mall bidders eye (Middle Eastern and Asian) SWF support

[Newsjock]

Source: Financial Times

The rival bidders for General Growth Properties, the bankrupt owner of some of the most high-profile shopping malls in the US, are seeking financial support from sovereign wealth funds in the Middle East and Asia, according to people familiar with the matter.

The talks between the bidders and the foreign investors remain in the early stages but highlight the growing risk appetite of the world’s leading SWFs as well as their interest in finding bargains in the beleaguered US commercial property market.

With Simon Property Group and Brookfield Asset Management vying for control of GGP’s portfolio of 200 malls, “several of the larger sovereign funds are working with both parties,” said Guy Metcalfe, head of real estate investment banking for Morgan Stanley.

... Simon has been talking to SWFs such as the Qatar Investment Authority about contributing to its bid, people familiar with the matter said. Blackstone is also expected to join forces with Simon and may turn to investors such as the Abu Dhabi Investment Authority for additional financial firepower.

Read more: http://www.ft.com/cms/s/0/9b8f2ba0-2fb2-11df-9153-00144feabdc0.html?nclick_check=1

[pattmarty]

1. Ahhh, the selling of America..........continues.