Chattanooga-based developer CBL & Associates Properties Inc. and financial services company TIAA-CREF today announced a $1.09 billion real estate joint venture to invest in market dominant shopping malls.
TIAA-CREF will invest in four of CBL's market dominant shopping malls: CoolSprings Galleria in Nashville; Oak Park Mall in Kansas City; West County Center in St. Louis; ; and Pearland Town Center in Pearland, Texas.
"We have been exploring joint venture opportunities for quite some time and our patience and persistence has been rewarded," said Stephen Lebovitz, chief executive officer of CBL. "We believe TIAA-CREF is the right partner for CBL and together have structured a mutually beneficial venture. We are pleased to recognize the significant enhancement in value for our portfolio through this transaction."
Lebovitz said the transaction will not only further its deleveraging efforts by reducing total debt by approximately $480 million, it will also create a vehicle to pursue future corporate growth opportunities.
TIAA-CREF is a national financial services organization and a provider of retirement services in the academic, research, medical and cultural fields with $453 billion in combined assets under management.