Trizec Properties, Inc., previously known as TrizecHahn Corporation, was a
real estate investment trust
A real estate investment trust (REIT) is a company that owns, and in most cases operates, income-producing real estate. REITs own many types of commercial real estate, including office and apartment buildings, warehouses, hospitals, shopping cente ...
headquartered in
Chicago
(''City in a Garden''); I Will
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,
Illinois
Illinois ( ) is a U.S. state, state in the Midwestern United States, Midwestern United States. Its largest metropolitan areas include the Chicago metropolitan area, and the Metro East section, of Greater St. Louis. Other smaller metropolita ...
. It was originally a Canadian company.
The name is derived from the initials of the three groups (Tri) that formed Trizec Properties Ltd: Zeckendorf, Eagle Star, and Covent Gardens.
In 1994, it was acquired by
Peter Munk
Peter Munk (November 8, 1927 – March 28, 2018) was a Hungarian-Canadian businessman, investor, and philanthropist. He was the founder and chief executive officer of a number of high-profile business ventures, including the hi-fi electronics co ...
and in October 2006, it was acquired by
Brookfield Properties
Brookfield Properties is a North American subsidiary of commercial real estate company Brookfield Property Partners, which itself is a subsidiary of alternative asset management company Brookfield Asset Management. It is responsible for the pro ...
and
The Blackstone Group
Blackstone Inc. is an American alternative investment management company based in New York City. Blackstone's private equity business has been one of the largest investors in leveraged buyouts in the last three decades, while its real estate bu ...
.
History
Trizec was founded in 1960 by
William Zeckendorf
William Zeckendorf Sr. (June 30, 1905 – September 30, 1976) was a prominent American real estate developer. Through his development company Webb and Knapp — for which he began working in 1938 and which he purchased in 1949 — he developed a ...
with British associates recapitalize the
Place Ville Marie
Place Ville Marie (PVM for short) is a large office and shopping complex skyscraper in Downtown Montreal, Quebec, Canada, comprising four office buildings and an underground shopping plaza. It serves as the main and official headquarters for Ro ...
development in
Montreal
Montreal ( ; officially Montréal, ) is the List of the largest municipalities in Canada by population, second-most populous city in Canada and List of towns in Quebec, most populous city in the Provinces and territories of Canada, Canadian ...
.
In the 1970s, the Toronto branch of the
Bronfman family
The Bronfman family is a Canadian family, known for its extensive business holdings. It owes its initial fame to Samuel Bronfman (1889–1971), the most influential Canadian Jew of the mid-20th century, who made a fortune in the alcoholic distille ...
acquired a 50.1% controlling interest in Trizec through its holding company,
Edper Investments Edper Investments Ltd. was the primary holding company and investment vehicle for brothers Edward Bronfman and Peter Bronfman between 1959 and 1995. At its peak in the 1980s and early 1990s, Edper was one of the largest corporate conglomerates in C ...
. The Bronfmans were also owners of Carena Properties, successor to the Canadian Arena Company. In the 1980s, Trizec acquired
The Hahn Company
The Hahn Company, San Diego, California, alternately known as Ernest W. Hahn, Inc., was a major American shopping center owner and developer from the 1950s to the 1980s. Purchased by the Trizec Corp. in 1980 (which then took the name TrizecHahn), ...
. In 1984, Trizec acquired a controlling interest in Toronto-based property developer Bramalea Ltd. After adding $5 billion in debt to finance rapid expansion during the 1980s property boom, Bramalea collapsed in the early 1990s, and in 1995, its U.S. subsidiary went bankrupt in the largest bankruptcy of a U.S. house developer. With restructuring of Trizec, Edper's equity was reduced to a nominal amount.
In 1994, Trizec Corporation was acquired by
Peter Munk
Peter Munk (November 8, 1927 – March 28, 2018) was a Hungarian-Canadian businessman, investor, and philanthropist. He was the founder and chief executive officer of a number of high-profile business ventures, including the hi-fi electronics co ...
's Horsham Corporation.
It moved its headquarters from Calgary to Toronto. Horsham Corporation and Trizec Corporation were amalgamated in 1996 to form TrizecHahn Corporation.
In 1997, it acquired a controlling interest in the Sears Tower (now the
Willis Tower
The Willis Tower (originally the Sears Tower) is a 108-story, skyscraper in the Loop community area of Chicago in Illinois, United States. Designed by architect Bruce Graham and engineer Fazlur Rahman Khan of Skidmore, Owings & Merrill (SOM), ...
) in Chicago for $70 million with payment of an additional $40 million for a garage next door.
It also acquired a portfolio of assets from
The JBG Companies
JBG SMITH Properties is a publicly traded real estate investment trust based in Bethesda, Maryland.
As of December 31, 2020, the company owned 62 properties and has 2 additional properties under construction, all of which are in the Washington me ...
for $560 million.
In November 1998, the company sold a portfolio of
shopping mall
A shopping mall (or simply mall) is a North American term for a large indoor shopping center, usually anchored by department stores. The term "mall" originally meant a pedestrian promenade with shops along it (that is, the term was used to refe ...
s, including
Westfield Santa Anita
The Shops at Santa Anita is a super-regional shopping mall located in Arcadia, California, adjacent to the Santa Anita Race Track, formerly known as Santa Anita Fashion Park and Westfield Santa Anita.
History
The mall opened as the Santa Anita Fa ...
to
Westfield Group
Westfield Group was an Australian shopping centre company that existed from 1960 to 2014, when it split into two independent companies: Scentre Group, which owns and operates the Australian and New Zealand Westfield shopping centre portfolio; ...
for $1.4 billion.
In 1999, the company acquired
1 New York Plaza
1 New York Plaza is an office building in the Financial District of Manhattan in New York City, at the intersection of South and Whitehall Streets near South Ferry. The building, measuring tall with 50 floors, is the southernmost skyscraper in ...
for $390 million from
Chase Manhattan Bank
JPMorgan Chase Bank, N.A., doing business as Chase Bank or often as Chase, is an American national bank headquartered in New York City, that constitutes the consumer and commercial banking subsidiary of the U.S. multinational banking and fina ...
.
By early 2000, 80% of TrizecHahn's revenues was from the United States and the company moved its headquarters to Chicago and sold all holdings it held in Canada, changing its name to Trizec.
In 2001, it sold noncore assets for $417 million.
[
In April 2002, the company received permission to convert to a public ]real estate investment trust
A real estate investment trust (REIT) is a company that owns, and in most cases operates, income-producing real estate. REITs own many types of commercial real estate, including office and apartment buildings, warehouses, hospitals, shopping cente ...
.
In November 2002, after the September 11 attacks
The September 11 attacks, commonly known as 9/11, were four coordinated suicide terrorist attacks carried out by al-Qaeda against the United States on Tuesday, September 11, 2001. That morning, nineteen terrorists hijacked four commercia ...
, the company wrote down two-thirds of the $70 million investment it made in 1997 to gain control of the Sears Tower.
In February 2004, the company sold its interest in Hollywood & Highland
Ovation Hollywood (formerly Hollywood & Highland) is a shopping center and entertainment complex in the Hollywood district of Los Angeles, California, United States.
Located at the intersection of Hollywood Boulevard and Highland Avenue, the s ...
to CIM Group
CIM Group invests in commercial property on behalf of large institutions such as pensions. As of December 31, 2020, the company owned $29.2 billion worth of commercial property.
History
The company was founded in 1994 by Shaul Kuba, Richard Ressl ...
for $200 million.
In May 2006, the company acquired 13 office properties in Southern California
Southern California (commonly shortened to SoCal) is a geographic and Cultural area, cultural region that generally comprises the southern portion of the U.S. state of California. It includes the Los Angeles metropolitan area, the second most po ...
from Arden Realty for $1.63 billion.
In October 2006, Brookfield Properties
Brookfield Properties is a North American subsidiary of commercial real estate company Brookfield Property Partners, which itself is a subsidiary of alternative asset management company Brookfield Asset Management. It is responsible for the pro ...
and The Blackstone Group
Blackstone Inc. is an American alternative investment management company based in New York City. Blackstone's private equity business has been one of the largest investors in leveraged buyouts in the last three decades, while its real estate bu ...
acquired the company for $8.9 billion.
Headquarters locations
When it was Canada-based, the headquarters in the early 1970s were in Place Ville Marie
Place Ville Marie (PVM for short) is a large office and shopping complex skyscraper in Downtown Montreal, Quebec, Canada, comprising four office buildings and an underground shopping plaza. It serves as the main and official headquarters for Ro ...
in Montreal, Quebec
Montreal ( ; officially Montréal, ) is the second-most populous city in Canada and most populous city in the Canadian province of Quebec. Founded in 1642 as '' Ville-Marie'', or "City of Mary", it is named after Mount Royal, the triple-pea ...
. After a first move to Calgary, Alberta
Calgary ( ) is the largest city in the western provinces and territories of Canada, Canadian province of Alberta and the largest metro area of the three Canadian Prairies, Prairie Provinces. As of 2021, the city proper had a population of 1,30 ...
in 1976 by then company President Harold Milavsky, the headquarters were moved again to Toronto, Ontario
Toronto ( ; or ) is the capital city of the Canadian province of Ontario. With a recorded population of 2,794,356 in 2021, it is the most populous city in Canada and the fourth most populous city in North America. The city is the ancho ...
[ in 1995, where the headquarters were in the ]BCE Place
Brookfield Place (formerly BCE Place), is an office complex in downtown Toronto, Ontario, Canada, comprising the block bounded by Yonge Street, Wellington Street West, Bay Street, and Front Street. The complex contains of office space, and con ...
. In 2004, the company was headquartered at Suite 4600 of the Willis Tower
The Willis Tower (originally the Sears Tower) is a 108-story, skyscraper in the Loop community area of Chicago in Illinois, United States. Designed by architect Bruce Graham and engineer Fazlur Rahman Khan of Skidmore, Owings & Merrill (SOM), ...
in the Chicago Loop
The Loop, one of Chicago's 77 designated community areas, is the central business district of the city and is the main section of Downtown Chicago. Home to Chicago's commercial core, it is the second largest commercial business district in Nort ...
. It later moved to the Near West Side.
References
{{Authority control
1923 establishments in Quebec
2006 disestablishments in Illinois
Canadian companies established in 1923
Companies disestablished in 2006
Defunct companies based in Chicago
Defunct real estate companies of the United States
Real estate companies established in 1923
The Blackstone Group companies