CBL Completes Sale of Majority Interest in Triangle Town Center to DRA Advisors LLC

CHATTANOOGA, Tenn.--(BUSINESS WIRE)-- CBL & Associates Properties, Inc. (NYSE: CBL) today announced that it closed on a new 10/90 joint venture for Triangle Town Center and Commons in Raleigh, NC, with DRA Advisors LLC (DRA). The new joint venture acquired the property from the existing 50/50 joint venture between CBL and The Richard E. Jacobs Group for a total consideration of $174.0 million, including assumption of a $171.1 million loan secured by the property. CBL now holds a 10% ownership position in the asset and is responsible for leasing and managing, earning customary fees.

Concurrent with the formation of the new joint venture, the new entity closed on a modification and restructuring of the loan, which matured in December 2015. The modified loan has an initial term of three-years maturing in December 2018, with two one-year extension options available to the joint venture, for a final maturity date of December 2020. The interest was reduced from 5.737% to 4.0%, interest-only payments.

“We are pleased to enter into this new joint venture with a high-quality institutional investor,” said Stephen Lebovitz, CBL’s President & CEO. “With North Carolina’s only Sak’s Fifth Avenue and an excellent offering of retail, dining and entertainment, Triangle Town Center is well-positioned in the market. Along with our new partners, we are excited about executing on the center’s strong growth opportunities and elevating its position in the market. Additionally, the restructure of the existing loan provides the venture with favorable borrowing terms and the flexibility to move forward and unlock the center’s potential.”

Andrew Peltz, Managing Director of DRA, added: “We too are excited about unlocking the potential of Triangle Town Center and are prepared to invest fresh vision and capital to bring the asset to a new level. This property is ideally situated to capitalize on the path of growth within metropolitan Raleigh, and we look forward to working with CBL to position Triangle Town Center as one of Raleigh’s dominant retail destinations.”

About DRA Advisors LLC

DRA Advisors LLC (DRA) is a registered SEC investment advisor with $6.8 billion of assets under management, headquartered in New York with offices in San Francisco and Miami. DRA has been in existence for 30 years with investors that include public and corporate pension funds, endowments, foundations and financial institutions. As of December 31, 2015, DRA has invested in properties valued in excess of $23.5 billion. Additional information on DRA Advisors LLC is available at www.draadvisors.com.

About CBL & Associates Properties, Inc.

Headquartered in Chattanooga, TN, CBL is one of the largest and most active owners and developers of malls and shopping centers in the United States. CBL owns, holds interests in or manages 147 properties, including 91 regional malls/open-air centers. The properties are located in 30 states and total 84.7 million square feet including 7.0 million square feet of non-owned shopping centers managed for third parties. Additional information can be found at cblproperties.com.

Forward-Looking Statements

Information included herein contains “forward-looking statements” within the meaning of the federal securities laws. Such statements are inherently subject to risks and uncertainties, many of which cannot be predicted with accuracy and some of which might not even be anticipated. Future events and actual events, financial and otherwise, may differ materially from the events and results discussed in the forward-looking statements. The reader is directed to the Company’s various filings with the Securities and Exchange Commission, including without limitation the Company’s Annual Report on Form 10-K and the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” included therein, for a discussion of such risks and uncertainties.

View source version on businesswire.com: http://www.businesswire.com/news/home/20160208006265/en/

CBL & Associates Properties, Inc.
Katie Reinsmidt, 423-490-8301
Senior Vice President -
Investor Relations and Corporate Investments
[email protected]

Source: CBL & Associates Properties, Inc.

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