Brookfield Property looks to swallow Brookfield Office for $5B

Consolidation would create one of country's largest commercial landlords

TRD New York /
Sep.September 30, 2013 11:10 AM

Bermuda-based Brookfield Property Partners has offered to buy the remaining shares of New York-based Brookfield Office Properties, a consolidation that would create one of the country’s largest commercial landlords. Brookfield Property currently owns 51 percent of the commercial landlord, whose assets include massive Financial District mixed-use Project Brookfield Place.

Brookfield Property was spun off from Toronto-based Brookfield Asset Management this year to hold commercial real estate assets, according to the statement. The acquisition will create a combined entity with 330 million square feet of office, retail and industrial space on four continents, the company said.

Brookfield Property intends to submit a tender offer today for the real estate investment trust’s shares, in stock or cash, at a value of $19.34 each, according to a statement today. The deal is valued at $5 billion, a 15 percent premium over Brookfield Office’s closing price on Sept. 27.

“The combination of these leading commercial real estate platforms will create a diversified portfolio of best-in-class real estate for investors seeking attractive risk-adjusted returns,” Ric Clark, chief executive officer of Brookfield Property, said in the statement seen by Bloomberg News.

Brookfield Property also holds stakes in General Growth Properties, the country’s second-largest mall owner, which last month bought Jared Kushner and CIM Group’s 200 Lafayette Street for $150 million. [Bloomberg News]Hiten Samtani 


Related Articles

arrow_forward_ios
Brookfield Property Group CEO Brian Kingston and 652 11th Avenue (Credit: Google Maps)

Brookfield drops $83M on Hell’s Kitchen hotel

M&T CEO René Jones and Brookfield managing partner Ben Brown with 5 Manhattan West (Credit: M&T, Brookfield, and Wikipedia)

Brookfield lands $184M refinancing for Manhattan West retail

Two Manhattan West and Brookfield Managing Partner Ben Brown

Brookfield seeks nearly $80M in tax breaks for 2 Manhattan West

Brookfield Property Partners CEO Brian Kingston 

Brookfield is getting into the Opp Zone game

Brookfield lands $217M financing for another Greenpoint Landing resi tower

Brookfield lands $217M financing for another Greenpoint Landing resi tower

Qatar is changing its investment strategy following Brookfield’s 666 Fifth deal

Qatar is changing its investment strategy following Brookfield’s 666 Fifth deal

Brookfield’s massive Virginia mixed-use project will have 1.5K resi units

Brookfield’s massive Virginia mixed-use project will have 1.5K resi units

Adtech company leaving 33 Whitehall for 42K sf at Brookfield Place

Adtech company leaving 33 Whitehall for 42K sf at Brookfield Place

arrow_forward_ios