Simon Property Group Inc. has held merger talks with rival U.S. shopping-mall operator Taubman Centers Inc., Bloomberg News reported. The real estate investment trusts have been holding on-and-off-again discussions since late last year. Talks between the companies stalled in recent days amid market volatility and it’s unclear if and when they will resume. The talks come as a wave of retail bankruptcies squeeze mall-oriented REITs, putting pressure on the industry to consolidate. The Bloomberg REIT Regional Mall Index has fallen about 30 percent in the past year through Monday, with Simon Property and Taubman Centers dropping 27 percent and 43 percent respectively over the same period. Simon has previously tried to purchase Taubman as well as the shopping center REIT Macerich Co., Bloomberg Intelligence REIT equity analyst Lindsay Dutch said in a research note Tuesday. A deal for Taubman may come down to price, she said.
