IBJNews

Simon names spinoff Washington Prime Group, picks CEO

Back to TopCommentsE-mailPrintBookmark and Share

Simon Property Group Inc. has chosen Washington Prime Group Inc. as the name for its planned spinoff of strip shopping centers and smaller enclosed malls, and hired Mark Ordan to be the new company’s CEO.

Ordan was most recently CEO of McLean, Va.-based Sunrise Senior Living Inc., which was sold last year to Health Care REIT Inc. and private-equity firm KKR & Co., Indianapolis-based Simon announced Tuesday.

Before that, Ordan was CEO of Virginia-based mall developer Mills Corp., which was acquired by Simon and Farallon Capital Management LLC in 2007.

Ordan also was the founder of Fresh Fields, which was sold to Whole Foods Market Inc. He lives outside Washington, D.C., with his wife and family.

Simon, the largest U.S. real estate investment trust, is focused on redeveloping its top regional malls, opening outlet centers and investing overseas to boost growth. The company, whose strip-center business accounts for 3.3 percent of its net operating income, in December said the new REIT will be better able to pursue acquisitions and development.

“We worked closely with Mark during the Mills transaction and found him to be a top-rate executive with particular expertise in creating value for an organization,” David Simon, chairman and CEO of Simon Property, said in a prepared statement. “I am very confident Mark has the retail real estate operating experience to lead this exciting new company.”

The new Indianapolis-based REIT will own 98 retail properties, including 13 in Indiana, and is expected to generate net operating income of more than $400 million in its first year, Simon said in its December statement. Simon expected the spinoff to be completed in the first half of 2014.

David Simon will be a director of the new REIT and Richard Sokolov, Simon’s president and chief operating officer, will become chairman, according to the December statement.

Simon shares fell 63 cents, to $159.28, Tuesday afternoon, but were up 5.1 percent this year through Monday.

ADVERTISEMENT

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
 
Subscribe to IBJ
  1. How much you wanna bet, that 70% of the jobs created there (after construction) are minimum wage? And Harvey is correct, the vast majority of residents in this project will drive to their jobs, and to think otherwise, is like Harvey says, a pipe dream. Someone working at a restaurant or retail store will not be able to afford living there. What ever happened to people who wanted to build buildings, paying for it themselves? Not a fan of these tax deals.

  2. Uh, no GeorgeP. The project is supposed to bring on 1,000 jobs and those people along with the people that will be living in the new residential will be driving to their jobs. The walkable stuff is a pipe dream. Besides, walkable is defined as having all daily necessities within 1/2 mile. That's not the case here. Never will be.

  3. Brad is on to something there. The merger of the Formula E and IndyCar Series would give IndyCar access to International markets and Formula E access the Indianapolis 500, not to mention some other events in the USA. Maybe after 2016 but before the new Dallara is rolled out for 2018. This give IndyCar two more seasons to run the DW12 and Formula E to get charged up, pun intended. Then shock the racing world, pun intended, but making the 101st Indianapolis 500 a stellar, groundbreaking event: The first all-electric Indy 500, and use that platform to promote the future of the sport.

  4. No, HarveyF, the exact opposite. Greater density and closeness to retail and everyday necessities reduces traffic. When one has to drive miles for necessities, all those cars are on the roads for many miles. When reasonable density is built, low rise in this case, in the middle of a thriving retail area, one has to drive far less, actually reducing the number of cars on the road.

  5. The Indy Star announced today the appointment of a new Beverage Reporter! So instead of insightful reports on Indy pro sports and Indiana college teams, you now get to read stories about the 432nd new brewery open or some obscure Hoosier winery winning a county fair blue ribbon. Yep, that's the coverage we Star readers crave. Not.

ADVERTISEMENT