Toronto-based RioCan Real Estate Investment Trust announced it will sell 100 retailers with a total estimated value is $1.6 billion. This purge is not surprising for the company. In 2015, it sold a total of 49 retailers, exiting itself from the United States entirely. CEO Edward Sonshine expects that focusing on Canadian markets will be able to reach annual same-property net operating income growth rate of 3% or more.
Gaw Capital Partners just secured a $170 million loan for the acquisition of Standard Hotel in New York City. With help from Natixis, the 18-story, 338-room hotel will belong to Gaw. With this loan, half of the cost of the deal is covered.
Starbucks is going off the grid, so you’ll have to get your mugs and coffee beans in store from now on. The beloved coffee retailer has made the daring decision to close its online shop in an attempt to get more customers in the store. Along with closing their online shop, the company recently closed nearly 400 Teavana locations due to under performance. Chairman of Starbucks, Howard Schultz, believes this will help enforce the company as an experiential brand. E-commerce is great and all, but customers really value that coffee-shop ambience and experience.
Retailers are closing left and right, but one market that is flourishing is the hotel market, and it’s not going anywhere soon. Developers say they are planning on building more new hotel rooms than last year, totaling 590,000 rooms. Occupied rooms average 72.4% over a 12-month period, making developers hopeful that demand will continue to rise.
Residents are not the only ones who love mixed-uses—developers do too. Vantage Builders just finished its renovation of Boston Beer Co. It includes offices, a conference room, and more excitingly, a tasting room that is open to the public! Sign me up.