A leader of the consortium selected by city officials to build a mixed-use development on East 125th Street in Harlem has been dropped from the S&P 500 because its shares are virtually worthless, according to an article in today's Wall Street Journal:
The latest meltdown in shares of mall and industrial REITs underscores the concern over a sharp, global economic slowdown in the wake of more dismal news from the retail sector.
Real-estate investment trusts faced more selling pressure Wednesday after another company cut its dividend to save capital and one of the nation's largest mall operators, General Growth Properties Inc., was dropped from the S&P 500 Index after the stock lost virtually all its value.
As of this morning, General Growth's stock was trading at about $0.35 a share. According to an October article in the Journal, the firm "has struggled for the past year to refinance and pay down a $27 billion debt load amassed in its aggressive acquisition spree of past years." read more »