Brookfield Properties And Brookfield Homes Combining To Form Brookfield Residential

Brookfield Properties Corp BPO and Brookfield Homes Corp BHS have entered into an agreement to combine the two firms to create Brookfield Residential. Brookfield Residential will trade on the NYSE and the Toronto Stock Exchange (TSE). The combined companies will be valued at $1 billion in equity and $2.5 billion in assets. The company is expecting the transaction to close in January 2011. Alan Norris, who will be President and Chief Executive Officer of Brookfield Residential said, “Brookfield Residential Properties will be the sixth largest residential platform in North America, with the financial strength and geographic diversity needed to thrive in the marketplace, both today and in the future.” Norris added, “The company will put proven, best-in-class operating skills to work in some of the most attractive regions in North America.” Ric Clark, President and Chief Executive Officer of Brookfield Office Properties said, “We are pleased to be bringing a strong and diversified residential land and housing company to existing and potential shareholders and at the same time creating a world-class, pure-play global office property company at Brookfield Office Properties.” BPO shares lost 0.44% to $16.34 in after-hours trading, while BHS shares dropped 6.32% to close at $7.71 yesterday. Read more from Benzinga's Company news.