Content area
Full text
Rodamco North America is thinking about putting mortgages on a Manhattan office building and some malls in order to retire short-term debt that financed its acquisition of Urban Shopping Centers.
The most likely candidate for a mortgage is the 500,000-square-foot office building at 745 Fifth Avenue, which is currently unencumbered by debt. The value of the Midtown property is pegged at $500/sf, or $250 million, meaning it would easily support a mortgage of about $150 million.
The company also owns several debt-free malls and could seek long-term mortgages on one or more of them.
Rodamco, whose $3.4 billion purchase of Chicago-based Urban two months ago has turned it into one of the largest owners of regional malls in the country, also expects to be in the market soon for a couple of hundred million dollars of construction financing for three malls that are being developed or expanded.
Rodamco North America was created in 1999 when its Dutch parent split...