General Growth Properties closed on its $766 million acquisition of Grand Canal Shoppes, a 500,000-square foot mall in the Venetian Resort in Las Vegas. The deal's low cap rate set a pricing landmark for the sale of a single, stabilized mall. General Growth's yield is about 4.5% for the property's in-place income. The Chicago firm anticipates that by the end of 2005, Canal Shoppes will be producing a yield of about 5.75%. The property benefits from its unique location--on the tourist-dense Las Vegas Strip. Its glitzy, high-end restaurants and retailers generate inline sales of $900/sf. Developer Sheldon Adels0n tapped Goldman Sachs to broker the sale.

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