December 13, 2019
The Macerich Company closed a $540-million loan on Kings Plaza Shopping Center, its 1.2-million-square-foot mall in Brooklyn. The lender wasn’t disclosed.
Macerich has owned Kings Plaza since 2013, when it paid a total of $1.25 billion to acquire the property and the 1.8-million-square-foot Green Acres Shopping Center on Long Island from Vornado Realty Trust and Alexander’s Inc.
The new loan bears a fixed interest rate of 3.62% and matures on Jan. 1, 2030. The former loan was $427.4 million, which was repaid at closing. Excess refinancing proceeds were used to repay a portion of the Company’s revolving line of credit.
In 2018, Macerich invested $110 million to redevelop the former four-level Sears store with Primark, Zara, JCPenney and Burlington. The redevelopment also included an extensive renovation of the mall’s exterior along Flatbush Avenue. The property generated sales of $735 per square foot as of Sept. 30, 2019.
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