|Simon Property Group Signs Letter of Intent to Purchase Property From St. Joe to Develop Retail and Entertainment Complex at Panama City Beach|
St. Joe and Simon to Jointly Develop Pier Park
INDIANAPOLIS and JACKSONVILLE, Fla., April 19 /PRNewswire-FirstCall/ -- Simon Property Group, Inc. (NYSE: SPG) and The St. Joe Company (NYSE: JOE) announced today that they have agreed in principle to jointly develop Pier Park in Panama City Beach. SPG will purchase property from JOE to develop a retail, restaurant and entertainment project.
Under the terms of the Letter of Intent, SPG would initially purchase approximately 90 acres in Pier Park with the option to purchase up to an additional 125 acres in and near Pier Park. JOE will retain approximately 15 acres on the north side of Front Beach Road for future complementary hospitality development.
"We are pleased that the nation's premier retail developer has chosen Pier Park as its next major project," said Steven J. Haemmerle, JOE's vice president and general manager of Pier Park. "The opportunities in Panama City Beach and Bay County are improving very quickly, and as a result, we are seeing higher demand and increasing interest from national retailers."
"We are delighted to work with JOE to bring to Pier Park a unique mix of shopping, dining and entertainment experiences," said Mark G. Gambill, regional vice president of development at SPG. "We believe that Pier Park has the potential to be a fun, family-oriented retail destination and a real asset to the community with a spectacular beach and a public park that will be central to the experience. We will now begin a period of due diligence and project pre-development."
SPG and JOE are currently negotiating the terms of a definitive agreement.
Pier Park is a public/private revitalization project between JOE and the City of Panama City Beach. Plans call for more than one million square feet of retail, dining and entertainment venues set within the allocated space of 130 acres.
Simon Property Group, Inc. (NYSE: SPG), headquartered in Indianapolis, Indiana, is a real estate investment trust engaged in the ownership, development and management of income-producing properties, primarily regional malls and community shopping centers. Through its subsidiary partnerships, it currently owns or has an interest in 246 properties in North America containing an aggregate of 191 million square feet of gross leasable area in 37 states plus Canada. The Company also holds interests in 48 assets in Europe (in France, Italy, Poland and Portugal). Additional Simon Property Group information is available at www.simon.com .
The St. Joe Company (NYSE: JOE), a publicly held company based in Jacksonville, is one of Florida's largest real estate operating companies. It is engaged in community, resort, commercial and industrial development, land sales and commercial real estate services. JOE also has significant interests in timber. More information can be found at http://www.joe.com .
SOURCE Simon Property Group, Inc.
/CONTACT: Les Morris of Simon Property Group, +1-317-263-7711; or