Now that it got its restructuring approved on 103 properties covering $10.25 billion in secured mortgages, General Growth is moving ahead with the next phases of its plan to emerge from bankruptcy. It has pending plans for another 10 properties covering $1.7 billion in debt and then has another $3 billion of secured property debt to restructure.
Beyond that, the firm needs to deal with several billion in unsecured debt--which might prove a little trickier.
It put out a statement outlining the next steps in its plans:
GGP is continuing to pursue a prompt resolution of approximately $3 billion of secured property debt remaining to be restructured. Concurrently, the Board of Directors and management are evaluating alternatives to reduce overall leverage and raise the capital necessary to emerge from bankruptcy in 2010. Financing alternatives include a public offering of GGP equity. In addition, the Board of Directors and management are considering all indications of interest in the Company.
"The confirmation of the plans of reorganization and the extension of mortgage maturities create the foundation for GGP to move forward to create a sustainable stand-alone capital structure which provides the basis of comparison for other strategic alternatives," said Adam Metz, chief executive officer. “The GGP Board is committed to maximizing value for all stakeholders and will choose the alternative that best achieves this objective.”