New Alliance Bolsters Donahue Schriber

Bolstered by a new alliance with a Canadian real estate firm, the suddenly cash-rich shopping center development company of Donahue Schriber is planning a little buying spree.

“It gives us a new infusion of capital, and it makes us very competitive on the acquisition side,” said Chairman Daniel W. Donahue of the deal with Cambridge Shopping Centres Limited of Canada.

Newport Beach-based Donahue Schriber, which has created some of Southern California’s best known and most prominent shopping malls and centers, announced Monday that Cambridge bought half of its outstanding shares through a U.S. subsidiary.

While terms of the deal were not announced, it is likely to pump millions of dollars into Donahue Schriber at a time when property values are sagging and the commercial real estate market is ripe for the picking.

“I think you will now see us begin a program of acquisition,” Donahue said. “It’s a fabulous time to be buying if you happen to have a capital source.”

Until now, Donahue Schriber has been known for developing such successful projects as the Tustin Market Place, a cutting-edge shopping center built around home improvement and discount apparel stores. It also designed the new Galleria at Tyler--the revamped Tyler Mall in Riverside, which is winning accolades from retailers for its innovative new look.

The firm was also chosen to redesign the troubled Anaheim Plaza mall and is building a new Murrieta Springs Mall in the heart of the growing residential areas of Riverside County.

The company also manages malls for other developers. In all, Donahue Schriber controls 14 shopping centers with nearly 1,500 tenants.

Cambridge is a major investor in shopping centers.