SITE Centers Corp. agreed to sell its 15% stake in the DDRTC joint venture to its partner Teachers Insurance & Annuity Association of America based on a $1.14 billion gross fund value.
The portfolio in the joint venture comprises 22 properties totaling 7.6 million square feet, which are mainly spread across the southeast U.S.
The outstanding mortgage debt held by the partnership, worth $299.2 million as of June 30, will be repaid or assumed as part of deal, expected to close in early 2020.
SITE Centers, which recently changed its name from DDR Corp., will cease providing operational services for the portfolio upon deal closing. The company expects fee income from the venture to total about $9 million to $10 million in 2019. It projects joint venture fee income to come to approximately $16 million to $20 million in 2020, assuming no new joint ventures are agreed upon.
