Prime Outlets Sold

Wednesday, September 01, 2010

The sale of Prime Outlets Williamsburg to Indianapolis-based Simon Property Group was finalized Tuesday.

 

Simon Property Group agreed to purchase 21 Prime Outlet locations from Prime Outlet Acquisition Company, including the Williamsburg location, for $2.3 billion.  Simon owns 393 retail real estate properties and 63 outlet centers comprising 25 million square feet, and is the largest U.S. mall owner.

"Prime Outlets has been an important and valued business in the County and we look forward to continued success under the new ownership," said Doug Powell, James City County's assistant county administrator.

Prime’s outlet centers are located in major metropolitan markets such as Washington D.C., Baltimore, Md. and San Antonio, Texas and popular tourist destinations such as Orlando, Fla., as well as Williamsburg.

The Williamsburg location expanded in 2008, adding 25 new stores, a 300-seat food court and 800 new parking spaces at a cost of $55 million.

The Prime Outlets sale to Simon was announced last December, and includes about $1.6 billion of Prime’s existing debt and preferred stock.

David Simon, SPG Chairman and Chief Executive Officer, said in a press release, "Prime Outlets is an excellent opportunity for Simon as it represents a strong strategic fit for our existing Premium Outlet portfolio and enhances our leadership position in the outlet business.”

A few of the Virginia locations Simon owns include Charlottesville Fashion Square, Chesapeake Center and Chesapeake Square, Potomac Mills, and the Fashion Center at Pentagon City.