Malan Cuts Estimate of Liquidation Proceeds

Malan Realty Investors Inc., a real estate investment trust based in Bingham Farms, Mich., has announced a reduction in its estimate of the expected net proceeds of its liquidation plan.The REIT said the net proceeds are now expected to range from $4.75 to $6.50 per share, compared with an earlier estimated range of $4.75-$8.50. Jeffrey Lewis, Malan's president and chief executive officer, said the upper end of the range was revised to reflect changes in the expected proceeds of property sales in view of the current market environment, environmental remediation issues, and other unanticipated costs. "Although the actual proceeds from property sales to date and expected proceeds from future sales are within 2% of our original estimates, the decline in value has a significantly greater impact on a per-share basis, given the highly leveraged position of the company," Mr. Lewis said. The REIT can be found online at http://www.malanreit.com.