Can Macy's Real Estate Save the Day?
Struggling fashion retailer Macy's is finally selling off valuable real estate holdings in order to make up for sluggish sales. Investors have been pressuring the department store chain; last month, hedge fund and stakeholder Starboard Value pushed for Macy's to separate its $21B real estate portfolio. (That's also the company's market cap.) Macy's has already begun making property moves—its soon-to-be-renovated Brooklyn store sold upper floors and a parking garage to Tishman Speyer for $250M, and a now-closed Pittsburgh store was sold to Core Realty. Despite the nice capital infusion, analysts raised concern last week about the ambitious real estate plans, citing increased risk. [Motley]