General Growth Properties Inc. said Bill Ackman will be chairman of Howard Hughes Corp., the spinoff that will consist of the company’s portfolio of master-planned communities and other real estate assets.
The move is expected to occur upon General Growth’s exit from bankruptcy in early November, according to a statement today from the Chicago-based company. Ackman’s Pershing Square Capital Management LP is among the firms that’s investing in the new company as part of General Growth’s restructuring. He was a director of the mall owner from June 2009 to March of this year.
General Growth, which filed the largest real estate bankruptcy in history in April 2009, is separating its traditional retail properties from its master-planned community and commercial development operations. The spinoff includes New York’s South Street Seaport and Summerlin, a 22,500-acre Las Vegas community formerly owned by the estate of billionaire aviator Howard Hughes.
“The Howard Hughes name -- which reflects the success and vision of one of our country’s greatest entrepreneurs -- is a fitting brand for this world-class portfolio of real estate assets,” Ackman said in the statement.
Howard Hughes Corp.’s chief executive officer will be announced after the spinoff is completed, General Growth said.