Editors’ Weekly News Round Up February 26 – March 1
The past week was a week of large-scale, decisive action, at least according to the stories Connect CRE readers favored. Drawing an especially sizable readership during the week ending March 2 was news out of Macy’s Inc. headquarters in New York City, charting near-term direction for the department store retailer.
Macy’s Will Close 150 Stores, Expand Small-Format Footprintwas the week’s most-read story on Connect CRE. Although Macy’s hasn’t yet released a complete list of the underperforming 150 locations set for closure, news traveled across California that the venerable Union Square location in San Francisco would be among them.
On Feb. 23, S&P Global announced that it had downgraded its rating on commercial real estate services firm Avison Young. However, little did most industry members know that Toronto-based Avison Young had already reached a debt restructuring agreement following months of negotiation with its stakeholders and planned to announce it the following Monday.
Ahead of the announcement, Connect Media broke the news with a cross-platform emailing. Originating on our Connect Money website, BREAKING NEWS: Avison Young Nears Completion of Restructuring Efforts for Future Growthranked as the week’s second most-read story on Connect CRE. Both Connect CRE and Connect CRE Canada provided follow-up coverage, based on an interview with Avison Young CEO Mark E. Rose.
News out of San Francisco provided the basis for Connect CRE’s third most-read story last week. The newsmaker was Veritas Investments, which has hired Eastdil Secured to market a portfolio of 23 multifamily properties, and we reported it as Veritas Puts Rent-Controlled Portfolio Up for Sale. It drew readership both in California and nationally.
It’s the third Bay Area portfolio that Veritas, which remains an active investor, has turned over in recent months. Prado Group took over troubled loans backed by 20 Veritas buildings last November, and a Brookfield-led partnership acquired mortgages tied to about 75 more Veritas properties as 2024 began.
Brick-and-mortar retailers such as Macy’s cite online merchants such as Amazon among the factors contributing to declining store traffic. However, even Amazon can make bets that fall short, as a story out of Seattle demonstrated.
The bet in this case was Amazon’s investment in Rivian Automotive, whose shares suffered their worst week since the electric vehicle maker went public. Amazon controls about 16.6% of the company’s stock, and in Amazon Loses Nearly $1B on Rivian Investment, readers learned about the impact of a massive selloff on that stake. This was the fourth most-read story of the week, based on readership both locally and nationwide.
Establishing a new company is always a decisive action, and when you’re a CRE veteran who most recently led Silverstein Properties, it’s going to make headlines. Ex-Silverstein CEO Marty Burger Starts New Firmrounded out the top five on Connect CRE this past week.
Burger’s new venture, Infinity Global Real Estate Partners, is partnering with Andrew Farkas, himself an industry heavy hitter. Infinity Global will focus on real estate development, acquisitions, financing and fund management nationwide.
On the subject of acquisitions, Weekender is now two articles into a four-part series on student housing. The latest installment focuses on investor interest in student housing, and if you’re not receiving our Weekender mailing, you can sign up for it here.