The company was forced to take extreme measures by the inability to refinance its huge debt. It arose from numerous acquisitions that were carried out using borrowed funds. One of GGP's largest investments was the purchase of Rouse Cos. for $14 billion. The company had to file for bankruptcy after negotiations broke down. on restructuring debt with bondholders for $2.25 billion. In November 2008, it was unable to repay a $900 million loan. The company stopped paying dividends, froze new projects, cut its workforce by more than 20%, and sold some non-core assets.

GGP owns or operates more than 200 department stores in the United States, including the world's largest shopping mall, Ala Moana Center in Hawaii. Brands sold there include Tiffany, Neiman Marcus, Louis Vuitton, Saks Fifth Avenue, Hugo Boss and Barneys New York. York. The company stressed that it will not close any stores.

The collapse of GGP, founded by brothers Martin and Matthew Bucksbaum in 1954, could be the largest of its kind. For example, Canadian developer Olympia & York Developments had $18.6 billion in debt when it filed for bankruptcy in 1992.

According to experts, the bankruptcy procedure of the company, given its size and the number of various creditors, could take more than one year.

Owners of the company's shares, which have fallen 97% since the spring of 2007, could lose the rest. Even if they don't, the rest could be eaten up by the large costs associated with the bankruptcy process. But there are optimists, such as the head of Pershing Square Capital Management Bill Ackman, who has recently been buying up the company's shares and lending it $375 million, hopes that GGP's equity will be preserved during the bankruptcy.

General Growth Properties went bankrupt