More Bad News For General Growth Properties

The old saying about if you didn't have bad luck, you would have no luck at all is certainly applicable to Chicago-based General Growth Properties (GGP).

Just in time for the Christmas Holiday GGP, developer of the half-constructed Elk Grove Promenade got a couple big lumps of coal in their stockings.

First there was the continued downgrading of their debt. This time it was Standard & Poor's who lowered GGP's secured debt to 'CC' from '-CCC'. Unsecured debt was also lowered to 'C' from 'CC'.

If that wasn't bad enough, GGP was slapped with another lawsuit late Wednesday afternoon. This time it was the law firm of Pomerantz Haudek Block Grossman & Gross LLP who filed a class-action lawsuit alleging GGP with securities fraud.

It seems like just a matter of time before the house of cards constructed by the GGP cabal collapses.