Outdoor gear retailer REI has put its new 400,000-square-foot corporate headquarters in Bellevue, Wash., up for sale before it ever got a chance to use it. The move serves as another example of the impact of the pandemic, and the company is planning to allow employees to work remotely or from other offices.
Off-price department store Stein Mart has filed for Chapter 11 bankruptcy protection with plans to liquidate and close most or all of its more than 280 stores in 30 states. The retailer also said it's exploring strategic options, including a possible sale of its intellectual property and e-commerce operations.
Some hedge funds and private equity firms that hold real estate loans are pursuing foreclosure proceedings against tenants that are unable to keep up with payments. These attempts at foreclosure often involve mezzanine financing, and experts believe more foreclosures could be on the way as pandemic-fueled economic challenges continue.
Simon Property Group and Brookfield Property Partners are engaged in advanced discussions to buy the retail operations of J.C. Penney, sources say. The mall landlords offered certain lease concessions that made the proposal more appealing than a competing offer from Sycamore Partners, sources say.
Manhattan's rental vacancy rate reached the highest mark in 14 years by climbing to 4.33% last month, according to a Douglas Elliman report. The number of new leases signed for the month dropped to 4,949, down 23.4% from a year ago.
There are advantages to being in an office that do not come with remote work, according to Adobe CEO Shantanu Narayen. Although he says that Adobe will rethink its physical office space in light of the pandemic, he notes that "when you're trying to create a new project, you want people around that water cooler."
Jeff Stuek Jr., who became CEO of Green Street Advisors earlier this year, discusses his background as well as the impact of the pandemic and opportunities for expansion. "While we continue to invest in our core offerings, we will also aggressively look for new ways to expand our business by providing more unique and actionable insight to our customer base," he says.
First-time unemployment claims reached a seasonally adjusted tally of 963,000 last week, marking the first time since March that there were fewer than 1 million claims. The tally was still well above the pre-pandemic record of 695,000.
Federal Realty Investment Trust CEO Don Wood has slightly increased its dividend payout after a less-than-stellar second quarter due to COVID-19. Wood said the coronavirus caused financial stress for the entire retail industry, but that the company, a shopping center operator, could survive the upheaval.
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