Indianapolis – According to the REIT, the properties are protected from new competition due to high barriers to entry and a lack of developable land in the area.
Indianapolis – Simon Property Group LP, a subsidiary of Simon Property Group Inc., has agreed to sell $900 million principal amount of its 3.4 percent senior notes due Oct. 1, 2024, and $400 million principal amount of its 4.3 percent senior notes due Oct. 1, 2044. Combined, the new issues of senior notes have a weighted average duration of 16 years and an average coupon rate of 3.6 percent. Simon Property Group LP intends to use the net proceeds of this offering primarily to fund the redemption of all $250 million outstanding principal amount of the 7.88 percent notes due 2016 issued by one of its subsidiaries. Citigroup Global Markets Inc., Deutsche Bank Securities Inc. and RBS Securities Inc. are serving as joint book-running managers of the public offering, which is expected to close on Sept. 10, 2014.
— Scott Reid