news-record.com

GREEBSBORO -- CBL & Associates Properties confirmed plans Friday to purchase Friendly Center, The Shops at Friendly Center and other properties from Starmount Company.

The News & Record reported on the planned deal in October.

In a news release today, CBL and the Teachers' Retirement System of Illinois stated they would form a partnership to acquire the portfolio of retail and office buildings.

The total transaction is valued at $540.8 million, including the $356.6 million joint venture with the Teachers' Retirement System. The deal includes more than 20 properties located mostly in Greensboro. Others are in High Point, Raleigh, Durham and Virginia.

CBL expects to close on much of the transaction today; the closing of the Renaissance Center in Durham is expected by the end of the year.

CBL stated in the release that it plans to sell some of the community centers and office buildings it will acquire and use the proceeds to pay down the loan needed for the Starmount purchase.

CBL, which reported more than $1 billion in revenues last year, ranks among the nation's top 10 shopping center owners and managers. Both Friendly and the Shops aren't surprising buys for the publicly traded company, which owns or runs about 80 malls and major retail centers, including several in the Triad.

"Friendly Center and The Shops at Friendly Center are regarded as one of the top lifestyle centers in the southeast and will perfectly complement our existing portfolio of dominant retail centers," Stephen Lebovitz, president of CBL, stated in a news release. "This transaction represents a phenomenal opportunity for CBL to add substantial value for our shareholders now and going forward through the numerous leasing, management, and development opportunities the properties offer."