DDR Acquires Seven Centers in Partnership with Blackstone for $332 Million

by Nate Hunter

Beachwood, Ohio — The properties total 2.4 million square feet and are 93 percent leased.

Beachwood, Ohio — A joint venture between DDR Corp. and an affiliate of Blackstone Real Estate Partners VII LP has acquired a portfolio of seven prime shopping centers totaling 2.4 million square feet. The purchase price was $332 million, including assumed debt of $207 million and $28 million in new mortgage debt. Blackstone owns 95 percent of the common equity of the joint venture and an affiliate of DDR owns the remanning 5 percent. DDR also invested $30 million in preferred equity in the venture with a fixed dividend rate of 9 percent. Additionally, DDR will provide leasing and management services.

The centers include Silver Spring Square in Harrisburg, Pa.; Falcon Ridge Town Center in Los Angeles; Sycamore Crossing and Indian Springs in Cincinnati; Fortuna Center in Washington, D.C.; Orchards Market Center in Portland, Ore.; and Vista Village in San Diego. The assets average approximately 345,000 square feet. The portfolio is 93 percent leased to retailers including Target, Walmart, Ross Dress for Less, Dick’s Sporting Goods, Petco, Best Buy and The Fresh Market.

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