From left: Tishman Speyer CEO Jerry Speyer, Hines Interests Chairman Gerald Hines and Simon Property Group CEO David SimonAs commercial construction remains stagnant in America, several high-profile American developers have turned to China for new projects, including several with notable ties to New York.

But for all the obstacles these developers are accustomed to encountering in the city, according to the New York Times there are even more hurdles to clear in China.

In addition to the obvious language and cultural barriers — for example, the Chinese do not consider a contract a binding agreement, and disputes with tenants are better settled over dinner than in a court room — unpredictable policy, layers of bureaucracy and the necessity of building local relationships make the prospect of development difficult. [more]

U.S. real estate investment trusts paid out a whopping $192.3 million to the top 20 highest-paid CEOs in the industry last year, for an average of $9.6 million per executive, according to SNL Financial. That’s up from $104.7 million, or $5.2 million per CEO, in 2009.

While it’s true that REITs did well last year, CEO compensation far outpaced their companies’ performance — across the REIT sector, shareholders saw a return of 28.9 percent; the top 20 highest-paid REIT CEOs saw an average 83.6 percent pay increase.

Marc Holliday, CEO of SL Green Realty Trust, took home $24.8 million last year, making him the highest-paid REIT executive in the country and marking a 117.6 percent increase over his compensation during the year prior. [more]

Retail real estate investment trusts will drop up to five cents a share in the first quarter, thanks mostly to retailer bankruptices, according to a Jefferies & Co. analysis cited by Crain’s. Shopping center vacancies are expected to rise to 11.1 percent this year, the highest mark in two decades, and liquidations of retailers like Borders and closings of Harry & David and AnchorBlue are adding to shopping center woes. The safest bets, according to the analysis, are upscale malls like those owned by Simon Property Group and Taubman Centers. [Crain's]

From left: TIAA-CREF’s 685 Third Avenue, GGP’s South Street Seaport, RREEF’s 15 Madison Square North

ProLogis, the Denver, Co.-based public REIT with 479.7 million square feet of industrial space globally, is the top U.S. commercial property owner, according to a new survey from Businessweek.com. Coming in a distant second was mall owner Simon Property Group, which has 264 million square feet. (Simon’s bankrupt rival, General Growth Properties, was ranked fifth with 200 million square feet). [more]

Still hoping that bankrupt mall owner General Growth Properties will have a change of heart, rival Simon Property Group has upped its takeover plan by $1.1 billion and added four financial backers to its proposal. General Growth, which balked at Simon’s $10 billion February buyout offer, has since backed a proposal by Brookfield Asset Management. The additional investment by Simon, which said last week it would match the terms of Brookfield’s proposal, comes on top of the $2.5 billion the company has already pledged, plus $1 billion from New York hedge fund Paulson & Co. ING Clarion Real Estate Securities, Taconic Capital Advisors, Oak Hill Advisors and Deutsche Bank AG’s RREEF unit will also join the plan. Critics have said a Simon takeover would raise antitrust issues. “Would Pepsi allow Coke to become its largest shareholder?” asked Cryus Madon, Brookfield’s senior managing partner. CEO David Simon is reportedly scheduled to meet with General Growth officials today in Chicago. [Bloomberg]

The South Street Seaport could be under new management if General Growth Properties’ bankruptcy exit plan with Brookfield Asset Management comes to fruition. General Growth, which has announced an agreement to reorganize with the help of $6.55 billion from Brookfield, Pershing Square Capital Management and Fairholme Capital Management, plus an additional $1.5 billion debt issuance, would split in two under the plan. The deal amounts to $15 a share, and is subject to bankruptcy court approval. Shareholders would also get 34 percent ownership in the reorganized General Growth Properties, which would focus on shopping malls, and 86 percent equity in its new spin off, General Growth Opportunities, which would own real estate properties like the South Street Seaport, the company said. The company is still exploring other deal options as it has until July 15 to finalize the terms of its reorganization, said Adam Metz, General Growth’s CEO. Those include a $10 million proposal from competitor Simon Property Group, which has been soundly rejected, though Simon is reportedly prepping another, higher offer. [Bloomberg]

As Simon Property Group prepares to step up its game in its bid to takeover bankrupt mall owner General Growth Properties, Brookfield Asset Management is in talks to bring two new hedge funds into its competing plan. Elliott Associates and Paulson & Co. are reportedly in talks to join Brookfield in its bankruptcy exit plan for General Growth, either as replacements for or additions to Fairholme Capital Management and Pershing Square Capital Management, which have already committed to their involvement. Luxor Capital Group and other funds may also be involved, sources told Bloomberg. “Even with Brookfield-Fairholme-Pershing’s commitment, [General Growth] management has been seeking to raise additional capital at more attractive terms,” said analyst Benjamin Yang of Keefe Bruyette & Woods, who was not surprised by reports of the latest negotiations. General Growth, which owns the South Street Seaport, rejected a $10 million buyout offer by competitor Simon Property Group last month that amounted to $9 per share, and Simon is said to be prepping another offer. As it stands, the Brookfield deal, which is pending bankruptcy court approval, would result in $15 per share for equity holders. [Bloomberg]

Simon Property Group is reportedly ready to up the ante in its bid to buy out rival shopping mall owner General Growth Properties over its competitors. General Growth, which owns the South Street Seaport, filed for the biggest real estate bankruptcy in U.S. history last year with $27 billion in debt. Simon had offered
$10 billion, or $9 per share, to buy out its bankrupt rival last month, but General Growth reportedly balked at what it said was a low-ball offer. Meanwhile, General Growth has praised another $2.5 billion offer from Brookfield Asset Management
that amounts to $15 per share. The deal, which is pending bankruptcy court approval, would also split the company in two and give Brookfield a 30 percent stake. Simon’s new offer for more than $15 per share could come as early as this week, the Associated Press reported. [AP via Crain’s]

Bankrupt mall owner General Growth Properties is weighing its options amid what’s turning out to be a heated battle over the company’s future. After rejecting outright an buyout offer from Simon Property Group, General Growth is now pushing for a deal in principle with Brookfield Asset Management that would split the company in two. There may still be more offers yet to come: General Growth President and COO Thomas Nolan testified in bankruptcy court this week that “four or five” non-disclosure agreements have been signed by potential bidders who want to look at the company’s numbers. In the video above, the Wall Street Journal chats with Nolan about the offers and what’s next for General Growth.

General Growth Properties is receiving a $2.5 billion shot in the arm from Canadian property manager Brookfield Asset Management that will allow the shopping mall giant to exit Chapter 11 bankruptcy protection, the company announced today. Brookfield will invest the funds in exchange for a 30 percent stake in General Growth, the second largest mall owner in the country, whose portfolio includes the South Street Seaport. General Growth, which filed for the biggest real estate bankruptcy in U.S. history last year with $27 billion in debt, said shareholders would receive $15 per share in the deal, which is pending bankruptcy court approval. The company also plans to raise up to $5.8 billion in cash to repay its creditors and to create a new company for some of its existing assets. Last week, Indianapolis-based competitor Simon Property Group  offered to buy out General Growth for $10 billion, or $9 per share, including $9 billion in cash. General Growth dismissed the offer as low-ball. [AP via Crain's]