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Latest Business News

Tishman, Lehman to Buy Archstone-Smith

Tuesday, May 29, 2007 5:08:11 PM
By VINNEE TONG

NEW YORK (AP) - Archstone-Smith, a major owner of apartment buildings, said Tuesday it had agreed to a Tishman Speyer-led buyout valuing the company at about $15.5 billion, but investors indicated they were expecting a higher bid.

Tishman Speyer, owner of New York's Rockefeller Center and the Chrysler building, was joined by Lehman Brothers Holdings Inc. in the friendly takeover bid, which would turn one of the largest publicly traded real estate trusts over to private investors.

The buyout provides further evidence of a booming market for commercial real estate and intense investor interest in owning real estate investment trusts, which pay lower taxes by distributing almost all taxable income to shareholders.


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