CHICAGO--(BUSINESS WIRE)--General Growth Properties, Inc. (NYSE: GGP) today announced it has completed the spin-off of The Howard Hughes Corporation (NYSE: HHC) (“Howard Hughes”) through the distribution of shares of Howard Hughes common stock to holders of GGP common stock. The Howard Hughes Corporation is now a standalone preeminent developer and operator of a diversified portfolio of master planned communities and long-term mixed-use properties. The company, which is traded on The New York Stock Exchange under the ticker “HHC,” has substantial near-, medium- and long-term development value creation opportunities and a strong balance sheet. GGP remains the second-largest shopping mall owner and operator in the country, with more than 183 regional malls in 43 states.
The Howard Hughes Corporation consists of a diverse portfolio of real estate assets located in premier locations across the United States. These assets include award-winning master planned communities with strong growth potential; mixed-use development opportunities in attractive geographic locations; operating properties with long-term value potential; and land inventory with significant upside. Howard Hughes development projects include, among others, marquee properties such as Summerlin in Las Vegas, Bridgeland as well as a partial ownership in The Woodlands in Houston, Columbia Town Center in Maryland, Ward Centers in Honolulu and South Street Seaport in Manhattan.
“Today marks a promising beginning of a new era of creating inspiring developments and driving sustainable, long-term value for all of our stakeholders,” said William Ackman, chairman of the Board of The Howard Hughes Corporation. “In the spirit of Howard Hughes, an icon of American business, we will build upon our world-class portfolio of real estate assets and establish a successful and entrepreneurial company that is the preeminent developer and operator of master planned communities and long-term mixed-used properties nationwide. I am excited for the future of our company, and I look forward to working together with my fellow board members and management to fully realize the inherent value of our company’s assets.”
Under the terms of the spin-off, GGP stockholders received 0.098344 shares of The Howard Hughes Corporation common stock for every 1 share of GGP common stock as of the record date of November 1, 2010. The common stock of The Howard Hughes Corporation is expected to commence regular trading on The New York Stock Exchange on November 10, 2010 under the symbol “HHC.” GGP common stock will continue to trade on the New York Stock Exchange under the symbol “GGP.”
The Howard Hughes Corporation Board, announced on October 8, 2010, consists of eight directors: William Ackman, founder, Pershing Square Capital Management; David Arthur, managing partner, Real Estate Investments, North America for Brookfield Asset Management; Adam Flatto, president, The Georgetown Company; Jeff Furber, chief executive officer, AEW Capital Management; Gary Krow, president and CEO, GiftCertificates.com; Alan Model, co-founder, treasurer and managing director, Overseas Strategic Consulting, Ltd.; Scot Sellers, chief executive officer, Archstone; and Steve Shepsman, executive managing director and founder of New World Realty Advisors.
One seat on the Board of Directors of The Howard Hughes Corporation will be reserved for the company’s chief executive officer, who is expected to be announced shortly.
ABOUT “New” GGP
“New” GGP will have ownership and management interest in 183 regional shopping malls in 43 states as well as ownership interests in other rental properties.
About The Howard Hughes Corporation
The Howard Hughes Corporation is a preeminent developer and operator of master planned communities and long-term mixed use properties in the United States. We own a diverse portfolio of real estate assets located in premier locations. These assets include award winning master planned communities; mixed use development opportunities in attractive geographic locations; operating properties with long-term value potential; and land inventory with significant upside. Howard Hughes development projects include, among others, marquee properties such as Summerlin in Las Vegas; Bridgeland as well as a partial ownership in The Woodlands in Houston; Columbia Town Center in Maryland; Ward Centers in Honolulu; and South Street Seaport in Manhattan.
FORWARD LOOKING STATEMENTS
This press release contains forward-looking statements. Actual results may differ materially from the results suggested by these forward-looking statements, for a number of reasons, including, but not limited to, the success of our equity offering, our ability to refinance, extend, restructure or repay our near and intermediate term debt, our substantial level of indebtedness, our ability to raise capital through equity issuances, asset sales or the incurrence of new debt, retail and credit market conditions, impairments, our liquidity demands and retail and economic conditions. Readers are referred to the documents filed by The Howard Hughes Corporation. with the Securities and Exchange Commission, which further identify the important risk factors which could cause actual results to differ materially from the forward-looking statements in this release. The Company disclaims any obligation to update any forward-looking statements.