General Growth Propertiessaid it will take full ownership of a Las Vegas residential property from the heirs of Howard Hughes, removing a potential hurdle in the U.S. mall owner's attempt to emerge from bankruptcy.
General Growth will pay $230 million to Hughes' heirs in exchange for a full release and settlement of all claims against GGP and its affiliates.
The amount will be paid shortly after General Growth's emergence from bankruptcy, the company said.
The company will pay $10 million in cash and has a choice of paying the remaining $220 million in cash or in shares of new General Growth common stock.
With this agreement, General Growth settled one of the last remaining issues affecting the capital structure of the company, it said in a statement.