The Hedge Funds Weblog
Hedge Funds Investment Short US Mall Properties
The well-known US hedge fund investment manager William Ackman said that he has taken a short position in shares of the largest US mall owner Simon Properties Group Inc.(SPG.N) This position was taken as a hedge against his investment in other retail real estate companies, including General Growth Properties Inc (GGP.N).
While he remains long GGP, he remarked at a recent symposium that if he finds a better investment opportunity it will be the first position he gets rid of. Ackman's Pershing Square Capital Management LP owns about 14% of GGP currently, and he also has a 25% stake in the Howard Hughes Corp (HHC.N) which was a spin off of GGP after that company emerged from bankruptcy protection. The discrepancy between the price of GGP and SPG shares is huge, with shares of SGP trading at $106 compared to GGP trading at $15 recently.
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