TSX:REI.UN - Post by User
Post by Farmer12on May 23, 2025 8:39pm
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Post# 36585078
HBC leases
HBC leasesA retailer with malls in B.C. has, I believe, successfully bought up 26 of the Hudson's Bay leases. The price has not been published, as far as I know. Canadian Tire bought the logo, name and other assets for $30 million a few days ago. The sale of inventory from the stores has been going better than expected from what I read somewhere. Riocan was taking a 30% haircut on rents to the JV, with the difference being accrued and placed 5th in line when all the proceeds have been accumulated by the bean counters and lawyers. I don't know how all of this shakes out for Riocan. Apparently there are 60 leases or so with no expressed interest from buyers. One by one all of the leases will be dealt with and there should be more clarity in Q3 which is only a month or so away. In the meantime the dividend is nice and very well covered. The mystery remains how smart people at Riocan could tie themselves to a rotting corpse like this. Maybe in their wisdom they see things beyond my limited wattage.