General Growth to Search for New Management Team as Bankrupcy Exit Nears

General Growth Properties Inc., the shopping mall owner planning to exit bankruptcy next month, plans to keep its top two executives in place while searching for a new management team.

Chief Executive Officer Adam Metz and Thomas Nolan, the president and chief operating officer, have agreed to stay in their positions for as long as a year after General Growth completes its restructuring, the Chicago-based company said in a statement yesterday.

“We are pleased to help position the company for the next chapter in its growth story and ensure a smooth transition for employees, shareholders and tenants while the board of directors selects a permanent management team,” Metz said in the statement.

General Growth filed the biggest U.S. real estate bankruptcy in April 2009 after amassing $27 billion in debt making acquisitions. The company’s exit from bankruptcy is being financed by a group led by Brookfield Asset Management Inc. Investors in the restructuring include Fairholme Capital Management LLC and Pershing Square Capital Management LP.

Metz and Nolan joined General Growth, the second-largest U.S. mall owner, in October 2008 following the resignations of John Bucksbaum from the CEO position and Robert Michaels from the post of president.

Metz is a founding partner of closely held Polaris Capital LLC, former chief investment officer of real estate fund Rodamco North America NV, and former chief financial officer for real estate investment trust Urban Shopping Centers Inc. Nolan is a former managing director of Trefethen & Co., a closely held real estate advisory and investment company.

To contact the reporter on this story: Daniel Taub in Los Angeles at dtaub@bloomberg.net

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