#Bloomfield #Hills-based mall owner and developer #Taubman #Centers has been sold to #Simon #Property #Group, the largest mall operator in the U.S., in a deal once threatened by the COVID-19 pandemic.
#Indianapolis-based #Simon announced #Tuesday that it has finalized its $3.4 billion purchase of an 80% ownership stake in The #Taubman #Realty #Group #Limited #Partnership, which gives it full ownership of #Taubman #Centers, including #Taubman’s remaining two #Michigan malls: #Great #Lakes #Crossing #Outlets in #Auburn #Hills and #Twelve #Oaks #Mall in #Novi.
The #Taubman family sold about one-third of its ownership interest in the deal and still has 20% of the limited partnership, according to a news release.
#Simon was to pay $43 per share for #Taubman, down 18% from the $52.50 per share price when the deal was announced on the eve of the pandemic’s arrival in early #February. #In #June, #Simon threatened to pull out of the deal, saying the pandemic and mall shutdowns had put tremendous financial strain on #Taubman and that “extreme actions” might be necessary to rescue the company.
#Taubman insisted that #Simon remained legally bound to finish the deal and filed a compliant in #Oakland #County #Circuit #Court.
#More:$3.6B deal to sell #Great #Lakes #Crossing #Outlets, #Twelve #Oaks #Mall in jeopardy
The companies ultimately agreed to settle the litigation and last month announced a modified deal including the price cut.
A #Simon representative was not immediately available for comment late #Tuesday afternoon about the deal and whether any changes are expected at #Twelve #Oaks #Mall or #Great #Lakes #Crossing #Outlets.
#Taubman #Centers owns or manages 26 malls or large shopping centers in the U.S. and #Asia. #It previously owned The #Mall at #Partridge #Creek in #Clinton #Township and #Fairlane #Town #Center in #Dearborn, but sold them in 2014 along with several other malls in other states to #Starwood #Capital #Group. #Years earlier, it developed and later sold #Lakeside #Mall in #Sterling #Heights.
#Simon has a larger portfolio of more than 200 malls and shopping centers, including #Birch #Run #Premium #Outlets and #Briarwood #Mall in #Ann #Arbor.
#Ironically, #Taubman #Centers once waged war to stop #Simon #Property #Group from buying it in 2003. The #Taubman family then told the #Simon group that their company was “not for sale.”
#That hostile takeover attempt was scuttled when then-Gov. #Jennifer #Granholm signed changes to #Michigan’s anti-takeover law — the #Michigan #Control #Share #Acquisitions #Act — that allowed the #Taubman family to block the all-cash offer by #Simon and a partner, #Westfield #America #Inc.
#Company founder and celebrated philanthropist A. #Alfred #Taubman died in 2015 at age 91.
The #Associated #Press contributed to this report.
#ContactJC #Reindl: 313-222-6631 or [email protected]. #Follow him on #Twitter @jcreindl. #Read more on business and sign up for our business newsletter.
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https://www.freep.com/story/money/business/2020/12/29/twelve-oaks-great-lakes-crossing-taubman-sale/4079187001/
##Twelve ##Oaks ##Mall ##Great ##Lakes ##Crossing ##Outlets #owner