MPG Office Trust Inc. said shareholders on Wednesday approved the merger of the troubled downtown L.A. commercial landlord with New York's Brookfield Office Properties Inc.
Brookfield ‘s DTLA Holdings will pay MPG shareholders $3.15 a share in cash, a 21 percent premium to the share price before the deal was announced April 25, and will pay $25 a share for the REIT’s preferred shares. The total deal, including assumption of debt and net cash proceeds from the sale earlier this year of MPG’s U.S. Bank Tower, has been valued at about $2.2 billion.
About 97 percent of the votes cast at today’s special meeting were voted in favor of the approval of the merger, MGG said, representing about 73 percent of outstanding shares.
Brookfield and MPG expect the deal to close in the third quarter.