Morgan Stanley reportedly has amassed a 5.1% stake in General Growth Properties. The deal follows Pershing Square's recent purchases in General Growth, increasing its stake to 19.9%.
IStockAnalyst says that the two may be betting that the new bailout money that banks are now getting may help General Growth get a possible refinancing for its debt, which would help soften its payments. Alternatively, some speculate that the push by Morgan and Pershing to up their stakes will be a way to use the REIT's properties as collateral to provide financing.
Another good sign for General Growth is that it its creditors had granted a two-week "interim extension" on Sunday on $900 million of debt on mortgage loans for two of its shopping malls. General Growth also said Monday it reached an agreement with a lender to extend the maturity date of $58 million in notes to Dec. 11. - Gerald Magpily
See iStockAnalyst.com article
Morgan Stanley is following outspoken activist investor Bill Ackman's Pershing Square Management LP's lead and buying more of General Growth Properties Inc. The news sent shares of the mall REIT up in Wednesday trading. 
