About That Seaport...: General Growth Properties, the mall developer... - NBC New York

About That Seaport...: General Growth Properties, the mall developer...

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    NEWSLETTERS

    About That Seaport...: General Growth Properties, the mall developer...

    General Growth Properties, the mall developer that wants to redevelop the South Street Seaport and add a 42-story hotel and condo tower on the waterfront, is in a bit of financial trouble, the Wall Street Journal reports: "Senior executives at General Growth Properties Inc. built up the mall owner by loading it with debt and amassed their own wealth by borrowing heavily to buy its shares. Now, both high-risk strategies have come crashing down. General Growth's stock has cratered some 73% in the past year as investors have worried about the company's ability to repay its $27 billion in debt." [WSJ]

    UPDATE: A GGP spokesman responds: "The Seaport plan is moving forward full steam with growing support from the community. The project remains a top priority for GGP nationwide. The Seaport's success is important for New York's economy as it will bring 5,750 full-time jobs during construction, employ 2,100 employees once complete, contribute $33 million in one-time project related revenues for the city and generate over a billion in economic activity for the City during construction." [CurbedWire Inbox]

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