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Reason for optimism Developments involving General Growth, MGM Mirage show Wall Street looking to better times Fri, Mar 5, 2010 (3 a.m.) Las Vegas Sun We see signs on Wall Street that capital will start flowing again and, hopefully, that a good amount will make it to Las Vegas. An outright bidding war has erupted for General Growth Properties, a big player in the Las Vegas economy with its vast land holdings and commercial developments in Summerlin and five shopping malls on and off the Strip. This is a sign that the company could emerge from bankruptcy, recapitalized and ready to grow and invest again. Although the recession has hurt Las Vegas resort operators, things will turn around and when they do General Growth looks to profit from its three trophy malls on the Strip: Fashion Show, Grand Canal Shoppes at the Venetian and the Shoppes at the Palazzo. “For many years, the investing community failed to understand the real value of high-quality regional malls,” said Rich Moore, managing director at RBC Capital Markets in Solon, Ohio. “We’ve just gone through the worst recession in our history and these things are largely unscathed.” It may take awhile for development to speed up in Summerlin, as the residential real estate market remains depressed by foreclosures. But in time, Summerlin too is likely to emerge stronger from the General Growth bankruptcy. Also in recent days, banks and Wall Street players agreed to extend a big chunk of MGM Mirage’s debt maturities — in effect refinancing $3.6 billion in loans. Gaming analyst Bill Lerner of Union Gaming Group called the agreement “critically important” for MGM Mirage because without it, the company would have a hard time meeting debt payments in the wake of the slowdown on the Strip. The deal is a significant long-term vote of confidence in Las Vegas’ largest employer and another sign that Wall Street is looking past the current recessionary environment and toward the future. |
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| aus der Diskussion: | AMBAC REBOUND- Ratings, Analysen, Charts, News |
| Autor (Datum des Eintrages): | Aktientitan (07.03.10 09:15:18) |
| Beitrag: | 39 von 133 (ID:39077758) |
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