Caruso Suit Against General Growth Goes Forward
There is a fight brewing between two real estate developers over competing malls in Glendale, Calif.
Glendale Galleria owner General Growth Properties Inc. will face Caruso Affiliated in Los Angeles Superior Court over a $40 million antitrust and anti-competition suit, the California Court of Appeals ruled on June 30.
The court overruled General Growth’s appeals against Caruso’s suit, originally filed in February 2004. Caruso, owner of The Grove shopping center in Los Angeles, alleged that the Chicago-based real estate investment trust had engaged in unfair business practices and had intimidated retailers from exploring leasing opportunities at Caruso’s The Americana at Brand shopping center, which will be located across the street from the Glendale Galleria.
“This is a preliminary ruling on procedural issues that does not reach the merit of any claims,” said General Growth spokesperson Arthur V. Sohikian
The Americana is scheduled to open in 2007. It is a $264.2 million, mixed-use project that will be built on 15.5 acres of land. It will feature 475,000 square feet of retail, dining and entertainment. Caruso said the Americana will bring new business to the Galleria.
“There is room in the market for everyone. Great new retail projects are good for neighboring businesses and for the community,” Caruso said.
No court date for the suit has been scheduled.
