Thursday, October 2, 2008

The future of GGP?

I'm the first person to admit when I am wrong. And I've said before that I don't see General Growth Properties going anywhere, but I have also said that all bets are off in this market.

Then along comes this story in Retail Traffic to the effect that not only might GGP have to put itself up for sale, but that it might happen by year end. The concern is that lending is so tight and so much is coming due that a sale might be the best bet.

I know it would be a lawyer's bonanza to work on a deal that size. The due diligence alone would be amazing -- EOP-esque, if I may say so. And there are a lot of CRE lawyers on the sideline right now. This would not be full employment, but the sale of GGP, Lehman and other assets, combined with availability of credit and some investors flush with cash deciding the time is ripe, could mean more employment for a bunch of people soon.

FYI -- I've heard vague rumors but nothing I care to write about since I'm not a reporter. I also have too much respect for GGP to post them. (This blog is read by one or more people at GGP almost every day.)