Structure, price talk emerge on General Growth Properties' $6.15 billion facility

By Paul A. Harris

St. Louis, Sept. 15 - Structure and price talk emerged Wednesday on General Growth Properties Inc.'s $6.15 billion bank loan, according to an informed source.

The deal, with Lehman Brothers, Credit Suisse First Boston, Wachovia and Bank of America as joint lead arrangers and joint bookrunners, is expected to launch in early to mid October.

The deal will be comprised of a $250 million three-year revolving credit facility. It will also include up to a $3.9 billion three-year term loan A talked at Libor plus 225 to 250 basis points and a $2.0 billion four-year term loan B talked at Libor plus 250 to 275 basis points.

The bank loan is part of a $9.75 billion credit facility of which $3.6 billion is a bridge loan to be taken out by the CMBS deal.

Proceeds will be used to help fund the acquisition of The Rouse Co. and refinance $2 billion of General Growth's unsecured credit.

General Growth is a Chicago shopping mall owner.

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