Westfield America acquires fifth shopping centre in St Louis, Missouri
15 January 1998
Countries: United States
Westfield America, Inc. announced today that it is acquiring a100% interest in Crestwood Plaza shopping centre in Crestwood,Missouri, from Crestwood Plaza Shopping Center LLC for US$106.4million.
Crestwood Plaza is a single level, enclosed super-regionalshopping centre with 94,585 square metres of retail space. It isanchored by three department stores: Famous-Barr, Dillard’s andSears, and features 150 specialty stores. The centre is 16kilometres south west of downtown St Louis on Watson Road, close tothe Interstate 44 freeway.
President of Westfield America, Inc. Peter Lowy said Crestwoodfitted the acquisition criteria of Westfield America’s growthstrategy.
“The purchase of Crestwood Plaza increases our presence in theSt Louis market to five major regional shopping centres,” Mr Lowysaid. “With Crestwood Plaza and the recent acquisition of NorthwestPlaza in December ’97, Westfield America has invested more thanUS$200 million in the St Louis market. We believe that St Louisoffers a solid, balanced economy and market synergies for ourinvestments.”
The acquisition of Crestwood Plaza will be funded through theCompany’s existing unsecured corporate credit facility, which isbeing increased by US$200 million to US$800 million. The facilitywill be provided by National Australia Bank Limited, CommonwealthBank of Australia, Australia and New Zealand Banking Group andUnion Bank of Switzerland. As of December 31, 1997, there was $463million outstanding under this facility.
With the purchase of Crestwood Plaza and Northwest Plaza,Westfield America is the largest retail landlord in the St Louismarket with close to half a million square metres of retail spaceand more than 530 retailers. Westfield’s other portfolio holdingsin the St Louis market are: Northwest Plaza in St Ann; Mid RiversMall in St Peters; South County Center in St Louis; and West CountyCenter in Des Peres.
The St Louis metropolitan area has a population of more than 2.5million and an average household income of US$56,645.
Westfield America’s commitment to expanding its business in StLouis was further demonstrated in December with the announcement ofa redevelopment for West County Center. The US$200 millionredevelopment, with the addition of Nordstrom and Lord & Taylordepartment stores plus new specialty stores, will nearly double thesize of the centre to 102,000 square metres. Work is scheduled forcompletion in 2001.
Westfield America, Inc. (NYSE code WEA) is a real estateinvestment trust and one of America’s leading owners of regionalretail centres. With the acquisition of Crestwood Plaza, thecompany now owns 25 major shopping centres in 10 metropolitan areasin the states of California, Colorado, Connecticut, Maryland,Missouri, New York and Washington.