PREIT exits bankruptcy and appoints new CEO & Executive Chairman, effectively immediately

PREIT, owner of Willow Grove Park Mall, decided in December to file a voluntary Chapter 11 petition in the United States Bankruptcy Court for the District of Delaware, which was considered a first step in their long-term plan.

The company announced this week that it has successfully concluded its financial and corporate restructuring and “emerged from bankruptcy through an expedited process”, according to a statement.

The firm’s reorganization plan reduced its total debt by approximately $835 million and brought forth commitments of approximately $130 million of new money debtor-in-possession financing and exit revolver financing from a group of investors, according to a statement released on Monday.

Under the plan, PREIT’s existing equity interests, including $384 million of preferred equity interests, were extinguished in exchange for a $10 million cash distribution.

As a result of its corporate reorganization and consolidation of equity holders, PREIT is no longer an SEC reporting company, the statement said.

PREIT has also appointed a new CEO and Executive Chairman. 

Joseph F. Coradino is stepping down from his role as CEO and trustee now that PREIT’s restructuring has been completed. Coradino spent over 40 years with the company in various capacities, and served as CEO since 2012. He will continue to serve in a consultant capacity.

PREIT’s Board of Managers appointed Jared Chupaila (pictured above) to succeed Mr. Coradino as CEO, effective immediately, PREIT said. He will also serve as a Member of the Board.

Glenn J. Rufrano has been appointed as Executive Chairman of the Board of Managers.

About the new CEO

Jared Chupaila has over 20 years of experience in commercial real estate executive leadership, corporate strategy, asset management, and leasing and operations. Mr. Chupaila most recently served as CEO of Brookfield Properties retail real estate vertical (formerly GGP, Inc.), where he oversaw the company’s U.S. portfolio of more than 150 retail centers spanning 150 million square feet across 43 states, totaling approximately $60 billion in assets under management. Prior to his position as Chief Executive Officer, Mr. Chupaila served as Chief Operating Officer of Retail at Brookfield Properties, Executive Vice President, Leasing at GGP, Inc., and, before that, various leadership roles across GGP, Inc., The Rouse Company, and The Howard Hughes Corporation.

About the new Executive Chairman

Mr. Rufrano has over 35 years of experience specializing in stabilizing and repositioning publicly traded and private real estate companies. Mr. Rufrano most recently served as the Chairman of the International Council of Shopping Centers, Inc. (ICSC). Prior to this, Mr. Rufrano served as Chief Executive Officer of VEREIT, Inc., a real estate investment trust which owned nearly 90 million square feet of retail property in the U.S. at the time of its merger with Realty Income Corporation, President and Chief Executive Officer of Cushman & Wakefield Inc., one of the world’s largest commercial real estate services companies, Chief Executive Officer of Centro Properties Group, an Australian public LPT, which owned 22 million square feet of retail property in Australia and 100 million square feet in the U.S., Chief Executive Officer of New Plan Excel Realty Trust, Inc., and Chairman and CEO, and among the founders, of O’Connor Capital Partners.

For all the latest news, follow us on Facebook or sign up for Glenside Local’s “Daily Buzz” newsletter here.