Second Largest Shopping Mall Owner General Growth files for bankruptcy protection

Reuters reports:

General Growth Properties Inc, the second-largest U.S. mall owner, filed for bankruptcy protection on Thursday in the biggest real estate failure in U.S. history.

Ending months of speculation, General Growth sought Chapter 11 bankruptcy protection from creditors along with 158 of its more than 200 U.S. malls, while it tries to restructure some of its debt. Its joint-venture properties and third-party management business were not included in the bankruptcy.

We can predict that commercial rents will be coming down.