Bottom line is $HHC paid $66M ($204M to IRS and getting $138M from $GGP) for 715k of office space……and this assumes they get no relief at all from the tax court. They very well might end up with these as a “freebie”.

Here is the breakdown of the properties from $GGP 2013 10k:

This reminds me of when $HHC bought the 47% of the Woodlands it did not own from Morgan Stanley for $117M in 2011. That is a transaction people can only look back at now and shake their heads in amazement. Why? Well consider $HHC is putting two buildings there for $XOM. When finished they will produce ~$12M NOI annually and if we throw a 6% cap rate on them just those two buildings are worth $200M….and there are still millions of sqft left to be developed

It won't be long before we look back at today's transaction and are able to do the same exercise…..