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Whole Foods lines up financing for
acquisition; downtown condo tower gets
design approval.

Wednesday, August 29, 2007

GROCERY

Whole Foods says it has the dough to buy Wild Oats: $700 million loan
Whole Foods Market Inc. has lined up financing to complete its $565 million purchase of rival Wild Oats Markets Inc., ending a six-month battle with federal regulators who tried to block the deal on antitrust grounds.

The company said it has taken out a five-year, $700 million loan to fund the deal, which includes the assumption of $137 million in Wild Oats debt.

"While closing this merger has taken longer than we anticipated, we are very excited to now begin the integration process," said John Mackey, Whole Foods' chairman and chief executive. He said the deal "will result in a company that is much stronger and better positioned for the future."

DEVELOPMENT

City design officials sign off on museum-hotel-condo project

The $200 million 21c Museum Hotel and Residences planned in downtown Austin has received approval from the city's Design Commission.

The 44-story hotel and condominium tower on Third Street between Brazos Street and San Jacinto Boulevard is scheduled to break ground in early 2008 and open in 2010. Since developers announced the project in June, the number of hotel rooms has increased from 209 to 230 and the number of condos from 200 to 209.

The sales center is scheduled to open next month at Sixth Street and Congress Avenue in a former Schlotzsky's restaurant.

The hotel would double as a modern art museum, with gallery space and rotating exhibits.

The project is a joint venture that includes Louisville, Ky.-based Poe Cos. and its Austin partner, Ironwood Real Estate.

AIRPORT TRAFFIC

Record number of fliers pass through Austin-Bergstrom in July

Passenger traffic at Austin-Bergstrom International Airport shot up 12 percent in July from a year ago. A total of 832,455 people flew through the airport, topping the previous record of 801,185 set in June.

Among major carriers, the biggest gainers with Delta Airlines, up 35 percent; Frontier, up 16 percent; JetBlue, up 14 percent, and Continental, up 13 percent.