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: Legal Pad | LABankruptcy filing won't stop the shopping
By Richard Binder
General Growth Properties, owner of the Glendale Galleria and other prominent malls, filed today for Chapter 11 bankruptcy protection, hoping to reduce and restructure its debt. The company had warned last fall that such a move was imminent if negotiations with its lenders fell through.
The real estate investment trust amassed $27 billion in debt in a buying spree during the housing boom. The sudden downturn in the retail industry and the tight credit markets hurt General Growth's attempt to restructure its debt.
The famous Galleria is not involved in the filing, and in fact the Chicago-based company intends to continue operating all its shopping centers during the bankruptcy process.
Full post as published by Legal Pad | LA on April 16, 2009 (boomark / email).
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