NEW YORK — Simon Property Group has increased its ownership in Kravco Investments L.P., owner of seven malls, notably King of Prussia near Philadelphia, and the Kravco Co. property management company. Remaining transactions should be completed within two weeks.
The transactions increase Simon’s ownership in KI to 80 percent and in KC to 50 percent, from 18 and 15 percent, respectively. Members of the family of Arthur Powell, one of the founders of Kravco, will own the remaining interests. KI will be renamed Kravco Simon Investments and KC will be renamed Kravco Simon Co.
The other malls are Lehigh Valley, Montgomery, Oxford Valley and Whitehall Mall, all in Pennsylvania, and the Bangor Mall in Maine and Quaker Bridge Mall in New Jersey.
The portfolio averages more than $400 in sales per square foot. Total consideration for the purchases is approximately $300 million, including debt.