Maguire Drops Sales Talk

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Maguire Properties Inc. apparently is bucking a consolidation trend in the real estate industry and has dropped plans to consider a possible sale.


The Los Angeles-based real estate investment trust, made brief mention in its fourth-quarter earnings release Tuesday that it was no longer pursuing “strategic alternatives.” Maguire, the largest owner of downtown L.A. office buildings, has been the subject of takeover speculation in the trade press for months.


“As a company we determined that the best way to serve shareholders was to maximize the value through development of the pipeline,” spokeswoman Peggy Moretti told the Business Journal, adding that the company was never “on the market.”


Maguire took a charge of $3.5 million charge in the quarter for costs related to the consideration process, according to the earnings release.


Maguire also reported that lowered expenses enabled its fourth-quarter net loss to drop to $4 million from a net loss of $7.33 million during the same quarter a year ago. Shareholders’ net loss for the quarter narrowed to $8.77 million, or 19 cents a share, from $12.1 million (-27 cents). Revenue for the quarter fell 3 percent to $130 million.

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