Monday, October 27, 2008

GGP: Now John Bucksbaum and Robert Michaels "step down"

That's news. Here is the press release, and here is a WSJ story. Bucksbaum remains chairman but is no longer CEO, and Michaels is out as president but staying as COO.

The Journal is calling it an "ousting." Their replacements are Adam Metz (the lead independent director, so that makes sense) and Thomas Nolan, respectively. I don't know Nolan but I do know a little about Adam, as I used to do legal work for some of the companies at which he worked.

These guys have some big tasks in front of them. Job #1 has to be to get some loan extensions on properties, especially Fashion Show and Shoppes at the Palazzo, which are now on the market but have a billion in debt coming due in a month. That should be an interesting negotiation to say the least.

The Bucksbaums have been a cornerstone of Chicago and I hope that continues. Their billions in the company have shrunk to millions, and GGP's stock is down 90%. It will be interesting to see whether GGP stays independent, sells out to someone (Simon?) or something else happens.

2 comments:

Anonymous said...

When you have GM's and other "management" playing games do you really expect them to survive. My 13 yr. old knows more about how NOT to discriminate or look down on others. Quite frankly, I am surprised our location lasted this long

arthur said...

what do you expect from an egotist like young Bucksbaum who doesn't know his a-- from his elbow. he should take one m,ore spin around as chairman of ICSC instead of running his business. All fluff no substance. Think about where he would be if Matthew wasn't his father!!!

 
-