Macy’s, Inc. in obtaining more than $4 billion of additional liquidity in response to the impact of the COVID-19 global pandemic on the company and the retail industry. The transactions consist of $1.3 billion in bonds secured by the company’s top mall assets and distribution centers, and a $2.8 billion ABL facility and an additional $300 million bridge commitment secured by Macy’s inventory. The bonds are secured by mortgages and deeds of trust on 48 of Macy’s top flagship assets, mall assets and distribution center assets, which 48 assets were transferred by Macy’s to new wholly-owned propco entities formed for the purpose of the bond financing transaction to hold the assets and guarantee the bonds and which propco entities, as landlords, entered into a new master lease of these assets to various Macy’s operating entities. The proceeds of the financing, which was announced on May 26, 2020, will help Macy’s retire certain upcoming debt maturities and fund its operations during the crisis.
Washington Prime Group in its chapter 11 restructuring including modifying over $1 billion of secured loans, negotiating modifications with its lead joint venture partner on over $1 billion of assets to prepare for the chapter 11 filing and negotiating a DIP financing and pre-arranged corporate level financing for the emergence of the company.
Equity Group Investments in its cooperation with activist investors Corvex Management and Related Fund Management to replace the board of directors of Commonwealth REIT (now known as Equity Commonwealth). Dan assisted the client in reorganizing its capital structure and internalizing the management of its externally managed REIT for a public company that owned in excess of 45 million square feet of office space. Dan also represented Equity Commonwealth on a $1.15 billion credit agreement.
Leading healthcare REIT in its definitive agreement to acquire substantially all of the life science and medical real estate assets of Wexford Science & Technology, LLC, from affiliates of Blackstone Real Estate Partners VIII L.P. for $1.5 billion in cash. The acquisition will add a related business line to the client’s diverse portfolio with 25 class-A assets that are leased by leading universities, academic medical centers and research companies.
LaSalle Investment Management in the recapitalization of a New York City retail portfolio valued in excess of $1 billion.
Leading investment management firm in its $540 million acquisition of the Times Square DoubleTree hotel from Sunstone Hotel Investors Inc. as the first phase of the client’s $2 billion mixed-use redevelopment project. Kirkland will continue to represent the client on the future phases of redevelopment.
Caesars Entertainment Operating Co. Inc. (“CEOC”) in real estate matters in connection with its Chapter 11 restructuring. CEOC, a majority owned subsidiary of Caesars Entertainment Corporation, provides casino entertainment services and owns, operates or manages 44 gaming and resort properties in 13 states and five countries primarily under the Caesars, Harrah’s and Horseshoe brand names. CEOC and its debtor subsidiaries had more than $18.4 billion in funded debt obligations as of the commencement of its Chapter 11 cases.
Aeroterm US in its acquisition of more than 120 airport logistics assets located in the United States and Canada for approximately $900 million and in the formation of its open-end fund for add-on acquisitions and developments.
Equity LifeStyle Properties, Inc. in its acquisition of a 75 manufactured home community portfolio valued in excess of $1.5 billion together with over $800 million of financing and preferred equity transactions.
Leading healthcare REIT in connection with its agreement to acquire privately owned Ardent Health Services for $1.75 billion in cash. Ardent is one of the 10 largest for-profit hospital companies in the United States.
