Simon Property Group L.P. plans to use proceeds from two proposed unsecured note series to repay all or part of its $750 million outstanding principal amount of 3.250% notes due 2026. The new notes would rank equally with other unsecured Debt but behind secured Mortgage lenders, shaping recovery priority for investors.

Key Highlights

  • Simon Property Group L.P. is offering notes due 2032 and 2036.
  • Net proceeds are intended to repay all or part of $750 million of 3.250% notes due 2026.
  • The notes would be direct, unsecured and unsubordinated obligations.

Simon Property Group L.P. plans to offer unsecured notes due 2032 and 2036, with proceeds earmarked to repay all or part of its $750 million outstanding principal amount of 3.250% notes due 2026.

The 2032 and 2036 notes would be direct, unsecured and unsubordinated obligations, ranking equally with Simon Property Group L.P.’s other unsecured and unsubordinated indebtedness. The notes could be redeemed before maturity, either in full or in portions, under the applicable terms.

Mortgage Debt Takes Priority

The notes would also rank behind claims against subsidiaries and any future preferred Equity of those subsidiaries, to the extent of their assets. Subsidiaries had €1.4375 billion of notes, approximately $1.640 billion, funding certain European operations, a $460.0 million Puerto Rico term Loan and a €350.0 million European operations term loan.