Countries: United States
Westfield America, Inc. announced today that it is acquiring a 100% interest in Crestwood Plaza shopping centre in Crestwood, Missouri, from Crestwood Plaza Shopping Center LLC for US$106.4 million.
Crestwood Plaza is a single level, enclosed super-regional shopping centre with 94,585 square metres of retail space. It is anchored by three department stores: Famous-Barr, Dillard's and Sears, and features 150 specialty stores. The centre is 16 kilometres south west of downtown St Louis on Watson Road, close to the Interstate 44 freeway.
President of Westfield America, Inc. Peter Lowy said Crestwood fitted the acquisition criteria of Westfield America's growth strategy.
"The purchase of Crestwood Plaza increases our presence in the St Louis market to five major regional shopping centres," Mr Lowy said. "With Crestwood Plaza and the recent acquisition of Northwest Plaza in December '97, Westfield America has invested more than US$200 million in the St Louis market. We believe that St Louis offers a solid, balanced economy and market synergies for our investments."
The acquisition of Crestwood Plaza will be funded through the Company's existing unsecured corporate credit facility, which is being increased by US$200 million to US$800 million. The facility will be provided by National Australia Bank Limited, Commonwealth Bank of Australia, Australia and New Zealand Banking Group and Union Bank of Switzerland. As of December 31, 1997, there was $463 million outstanding under this facility.
With the purchase of Crestwood Plaza and Northwest Plaza, Westfield America is the largest retail landlord in the St Louis market with close to half a million square metres of retail space and more than 530 retailers. Westfield's other portfolio holdings in the St Louis market are: Northwest Plaza in St Ann; Mid Rivers Mall in St Peters; South County Center in St Louis; and West County Center in Des Peres.
The St Louis metropolitan area has a population of more than 2.5 million and an average household income of US$56,645.
Westfield America's commitment to expanding its business in St Louis was further demonstrated in December with the announcement of a redevelopment for West County Center. The US$200 million redevelopment, with the addition of Nordstrom and Lord & Taylor department stores plus new specialty stores, will nearly double the size of the centre to 102,000 square metres. Work is scheduled for completion in 2001.
Westfield America, Inc. (NYSE code WEA) is a real estate investment trust and one of America's leading owners of regional retail centres. With the acquisition of Crestwood Plaza, the company now owns 25 major shopping centres in 10 metropolitan areas in the states of California, Colorado, Connecticut, Maryland, Missouri, New York and Washington.
Westfield Group